This transaction is the foundation’s first ETH sale after publishing its annual report. This strategy of the Ethereum Foundation is used to finance ecosystem projects and manage reserves by selling ETH at regular intervals.

Following the Ethereum Foundation’s last ETH sale, 334,315.7 DAI was converted into stablecoin DAI. This is part of the foundation’s long-term strategy to stabilize its crypto assets and fund its daily operations.

According to SpotOnChain data, this transaction by the Ethereum Foundation is the first ETH sale after its annual report for 2024 published on November 8. This sale follows a transaction on October 30 in which the Ethereum Foundation sold 100 ETH for 270,800 DAI.

During October, the Ethereum Foundation sold 100 ETH a total of four times. At the same time, another wallet belonging to the Ethereum Foundation sent 1,250 ETH (about $3.03 million) to the Bitstamp exchange on October 8.

According to the Ethereum Foundation’s 2024 report, as of October 31, the foundation’s total assets were worth $970.2 million, and most of it, $788.7 million, was held in cryptocurrencies. The Ethereum Foundation stated that most of these crypto assets are ETH, and 99.45% of the total supply is stored in Ethereum, corresponding to 0.26%.

The Ethereum Foundation’s continued holding of the majority of its crypto assets in ETH is a reflection of the foundation’s strategy to use ETH for future projects and community development.

According to SpotOnChain data, the Ethereum Foundation currently holds 272,330 ETH and 168,458 DAI. The Ethereum Foundation had previously sold 450 ETH for 1,029 million DAI on September 9, accumulating a total of 8.66 million DAI.

Vitalik Buterin, co-founder of Ethereum, stated that the Ethereum Foundation periodically sells ETH and the revenues from these sales are generally used to support public projects, make ecosystem improvements and maintain reserves.

As of the beginning of 2024, the Ethereum Foundation has sold a total of 4,266 ETH and the revenue from these sales was approximately $11.83 million at current market prices.

Vitalik Buterin’s defense of ETH sales, stating that they were intended to support ecosystem projects, sparked controversy in the Ethereum community.

Some people accused Buterin of selling ETH for personal gain, but Buterin denied these accusations and emphasized that the funds were used for community-supported projects and charities.

Additionally, Buterin, who donated the income he earned by selling 10 billion MOODENG tokens on October 7 to the biotechnology fund Kanro, argued that meme coins should be used for charitable purposes.

Such sales by the Ethereum Foundation are used as part of the foundation’s ecosystem strategies, as well as to continue the development and increase the security of the Ethereum network. The foundation’s sales demonstrate Ethereum’s commitment to the evolving blockchain ecosystem and sustainable financing model.