Ethereum Foundation Faces Criticism for ETH Selling: Community Urges Staking for Sustainable Funding

January 20, 2025
Ethereum Foundation Faces Criticism for ETH Selling: Community Urges Staking for Sustainable Funding
  • On January 20, Josh Stark from the Ethereum Foundation explained that the organization utilizes the Ethereum mainnet for swapping ETH for stablecoins and for payments related to events like Devcon and Devconnect.

  • Eric Conner criticized the Ethereum Foundation's reliance on selling ETH, labeling it 'insane' and advocating for staking as a more sustainable funding alternative.

  • Anthony Sassano, host of The Daily Gwei, suggested that the foundation should stake a portion of its ETH holdings and sell the rewards rather than exchanging ETH for stablecoins.

  • Community members are urging the Ethereum Foundation to stake its ETH to generate interest for covering expenses instead of liquidating tokens.

  • Ethereum co-founder Vitalik Buterin noted that staking Ether (ETH) by the Ethereum Foundation would compel it to take a definitive stance on any future contentious hard fork.

  • Buterin identified regulatory risks and future hard fork positions as significant concerns regarding staking ETH, although he mentioned that these concerns could be minimized and are currently being explored by the foundation.

  • Sassano also proposed using Aave to borrow stablecoins against ETH, acknowledging that while it could be riskier, it is preferable to outright selling ETH.

  • DCinvestor supported the idea of staking, recommending that the foundation drop 1,000 ETH into Aave to manage its expenses.

Summary based on 1 source


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