HomeWeb3Vitalik Buterin addresses controversy as Ethereum Foundation sells another 100 ETH

Vitalik Buterin addresses controversy as Ethereum Foundation sells another 100 ETH

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On-chain data shows that the Ethereum Foundation (EF) has sold 100 ETH for $336,475.

On Jan. 20, blockchain analytical firm SpotOnChain reported that this marks the foundation’s second sale of Ethereum in 2025, bringing its total sales to 200 ETH (valued at $672,000).

These transactions have reignited discussions within the Ethereum community about the foundation’s approach to managing its resources.

Stake or sell?

Critics argue that the EF should prioritize staking its ETH holdings to generate yields instead of selling. They believe such an approach aligns more closely with Ethereum’s goals and supports long-term sustainability.

Vitalik Buterin, Ethereum’s co-founder, addressed the controversy on X, explaining that regulatory concerns and the potential for contentious hard forks influenced the decision to sell rather than stake.

While regulatory pressures have eased, the risk of staking forcing the EF to take sides on divisive upgrades remains a significant concern.

Still, Buterin noted that the EF is actively exploring ways to utilize its ETH holdings more effectively, including staking. However, these efforts are still in the early stages, as the foundation seeks solutions that align with its broader mission.

Meanwhile, SpotOnChain suggested that the EF consider over-the-counter (OTC) trading for future sales.

The platform argued that such an approach would reduce public scrutiny and improve the community’s perception of the foundation’s financial management. It stated:

“Nobody wants to see the EF continuously dumping ETH on them.”

Ethereum Foundation restructuring

These developments come as the EF undergoes significant leadership restructuring.

On Jan. 18, Buterin highlighted efforts to restructure the foundation’s leadership to strengthen collaboration with developers, wallet providers, and Layer-2 networks.

This restructuring emphasizes decentralization, privacy, and open-source innovation, aligning with Ethereum’s core principles.

According to Buterin:

“[EF would] become more actively supportive of app builders, and make sure important values and inalienable rights (esp privacy, open source, censorship resistance) are a reality for users including at the app layer.”

Despite these changes, Buterin stressed that the foundation will maintain neutrality, refraining from political lobbying or endorsing specific interests. Instead, the EF will empower developers and foster innovation across the Ethereum ecosystem.

Meanwhile, these discussions also attracted Aave CEO Stani Kulechov, who proposed fundamental changes to the EF’s operational and financial strategies.

He advocated cutting operational costs, optimizing the treasury through diversification, and establishing a sustainable revenue model. Kulechov’s proposals included streamlining the EF’s workforce to focus on technical expertise and eliminating inefficiencies to enhance financial stability.

The post Vitalik Buterin addresses controversy as Ethereum Foundation sells another 100 ETH appeared first on CryptoSlate.

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