Report: Ethereum foundation $1.6 billion fund is 80% ETH

The Ethereum Foundation has released its archetypal financial report, which offers insights into however the non-profit enactment operates. 

Ethereum instauration holds astir 0.3% of ETH full supply

The study revealed that the instauration holds $1.6 cardinal worthy of fiscal assets arsenic of March 31, 2022. 80.5% of this is ETH, 0.7% different cryptocurrencies, and 18.8% non-crypto assets and investment.

Interestingly, the foundation’s ETH holdings presently relationship for astir 0.3% of the full Ether supply.

The study is portion of the foundation’s effort to beryllium much transparent portion carrying the Ethereum assemblage on with its plans. Beyond details of its finances, it besides revealed however the non-profit manages its portfolio to guarantee it has capable backing for improvement of the ecosystem.

It reads,

“The EF follows a blimpish treasury absorption argumentation that ensures we person capable resources to money the EF’s halfway objectives adjacent successful the lawsuit of a multi-year marketplace downturn.”

The 28-page study besides stated its argumentation connected selling portion of its ETH reserve to money its non-crypto holdings. 

Ethereum instauration connected selling its holdings and its expenses

According to the foundation, this is done erstwhile ETH is astatine highest prices to guarantee capable funds successful its halfway budget.

Previous income see 70k ETH during the 2017 bull market, 35k ETH soon aft the May 2021 peak, and 20k erstwhile it reached its existent ATH of $4,878 connected November 10. The timing of each these income is rather remarkable. 

The study besides contains expenses the instauration has incurred. It was revealed that the instauration spent astir $48 cardinal successful 2021. 

These funds were spent connected respective projects specified arsenic Layer 1 and 2 probe and development, assemblage development, and zero-knowledge roll-up applications. All of these suggest that the funds were expended connected helping Ethereum amended its scalability.

Its biggest disbursal was connected Layer 1 R&D, arsenic it spent adjacent to $22 cardinal connected it. Next was the $10 cardinal it spent connected assemblage improvement portion astir $2 cardinal for Layer 2 R&D.

The Ethereum Foundation is the largest non-profit supporting the Ethereum ecosystem. The instauration is liable for the highly anticipated migration of the blockchain to a Proof of Stake involvement network.