Ethereum Foundation, the non-profit organization dedicated to supporting Ethereum (ETH), has deployed 45,000 ETH in various DeFi protocols, including the Spark protocol, Aave Prime, Aave core, and Compound protocol.
According to an X post, the Ethereum Foundation has deployed 10,000 ETH in Spark, 10,000 ETH to Aave Prime, 20,800 ETH to Aave Core, and 4,200 ETH to Compound Finance. At today’s price ($2613.68/ETH), these are combined worth around $117.62 million.
Speaking through its X handle, the Ethereum Foundation expressed its appreciation to the community for its effort in ensuring adequate security.
“We’re grateful for the entire Ethereum security community that has worked diligently to make Ethereum DeFi secure and usable!”
Aave CEO and founder Stani Kulechov stated that the Ethereum Foundation’s donation to Aave Prime (10,000 ETH) and Aave Core (20,800 ETH) is one of its biggest donations in DeFi. The CEO also expressed optimism at the initiative, stating, “DeFi will win” as the foundation added liquidity to the Aave platform.
This initiative is a broader effort by the Ethereum Foundation to boost growth and garner support in the Ethereum ecosystem.
Ethereum Foundation and Industry Criticism
Interestingly, the foundation has been used in the past to sell ETH directly in the market. According to Lookonchain on X, the foundation was involved in a direct sale of about 4,000 ETH in January 2024. This transaction sparked widespread criticism from the cryptocurrency community over its negative impact on the overall Ethereum price.
Responding to the criticism, the Ethereum Foundation devised a new method of engaging and earning rewards with DeFi platforms without negatively impacting their performance or prices.
Vitalik Buterin also responded to criticism of the Ethereum Foundation’s transactions and leadership. While he expressed concerns regarding the foundation’s staking, he stated that regulatory concerns and the possibility of division within the blockchain were major reasons for the firm’s staking decisions.
Meanwhile, the Ethereum Foundation hinted at the possibility of “more to come,” implying that the fund deployment would not be its last. The firm also made public its decision to explore staking while asking its community members for suggestions and comments.
