New regulation on the highly debated ETH sales from the Ethereum Foundation

robot
Abstract generation in progress

The Ethereum Foundation (EF) has made new decisions that affect ETH sales, which have been heavily criticized recently. The foundation announced that it will adopt a new strategy to use its reserves of approximately $1 billion, a significant part of which consists of ETH, more consciously. This new strategy will focus on strengthening Ethereum's position as the leading platform for decentralized applications.

In the statement published regarding the subject, it was noted that short-term operations will be aligned with long-term goals and that support for the ecosystem will be increased, especially during periods when the market is stagnant or when the foundation defines as "critical". It was also stated that the upcoming one and a half years will be such a critical period.

In line with the new policy, the foundation's annual operational expenses will be kept at the level of 15 percent of total treasury assets. This rate will be reduced to 5 percent over the next 5 years with the gradual reduction of operational expenses. The 2.5-year equivalent of these expenses will be kept in fiat currency (tampon rezerv). If the fiat currency reserve falls below the specified buffer reserve amount, ETH will be sold. On the other hand, transparency will be increased by publishing quarterly and annual reports, and regular reports on financial performance and positions will be provided to the board of directors.

EF has followed a more active process after the changes made in the management level in the past months. The foundation began to make quick decisions in response to criticisms of slow action, while also strengthening communication with the community. It was reported that three separate goals were determined to be implemented in Ethereum in April. Additionally, last month, a new initiative was launched under the name "Trillion Dollar Security".

Published: June 5, 2025 17:48

View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Share
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate app
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)