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Ethereum Leads Top 10 Crypto Losses; Foundation Sells $11M ETH

Ethereum Foundation sells $11.1M in ETH, price dips amid treasury policy shift.

  • The Ethereum Foundation sold 10,000 ETH for roughly $11.1 million in its largest treasury sale of the year.
  • Ethereum posted the steepest decline among major cryptocurrencies, falling 0.9% to hold above $2,300.
  • The Foundation is transitioning to a ‘Stake-to-Fund’ model but will still review and sell treasury assets quarterly.
  • Bitcoin softened 0.5%, trading near $77,700 amid broader market weakness.

The Ethereum Foundation executed a major $11.1 million treasury sale on Friday, offloading 10,000 ETH via an over-the-counter transaction with Bitmine (BMNR). This move, publicly disclosed by the organization, marks its largest such transaction this year and is double the size of its March sale.

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Consequently, Ethereum’s price edged 0.9% lower over 24 hours, underperforming other top cryptocurrencies. Meanwhile, Bitcoin also declined, falling 0.5% to approximately $77,700.

However, the Foundation had previously announced a strategic shift from its traditional ‘Sell-to-Fund’ approach. It is now adopting a ‘Stake-to-Fund’ model, where staking yields generate non-dilutive revenue.

The organization recently met its goal of staking roughly 70,000 ETH to fund recurring costs. It expects annual staking revenue between 1,900 and 2,000 ETH based on current yields.

Nevertheless, quarterly reviews will determine if any ETH needs liquidation to maintain fiat reserves. The Foundation’s share of the total ETH supply has plummeted from 9% after its 2014 ICO to under 0.3% today.

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