Ethereum Foundation Balances Budget
In a detailed blog post, the Ethereum Foundation (EF) outlined its treasury composition and introduced a more principled strategy for managing its assets going forward. The thrust of the treasury policy is to refocus the EF on its core objectives of enabling “applications that run exactly as programmed without any possibility of downtime, censorship, fraud, or third-party interference.
MY TAKE ON IT:
• After years of sporadic ETH sales with minimal transparency, this move signals a clear shift from reactive sales to intentional budgeting. The Foundation holds over 94,000 ETH and more than $130 million in fiat-denominated assets. While that’s a strong position by any standard, the most notable aspect of the announcement is how the EF plans to manage it going forward. For years, the EF has come under fire for surprise ETH sales that often coincided with local market tops. While these sales were arguably prudent from a budgeting perspective, they were never well-communicated, and they repeatedly undermined confidence among ETH holders and traders. The new, transparent approach signals an awareness that optics and consistency matter just as much as raw balance sheet health.
• Perhaps even more interesting is the EF’s new posture toward Ethereum’s DeFi ecosystem. For the first time, the foundation has outlined clear, public criteria for when and how it will engage with decentralized finance protocols. Rather than chasing high-yield opportunities or playing liquidity games, the EF will restrict itself to protocols that align with its cypherpunk and “Defipunk” values, focusing on robust documentation, open-source code, credible security audits, sustainable governance models, predictable risk profiles, and maximized trustlessness. This is not degen yield farming; it’s a move toward responsible, accretive capital deployment.#Etherum