Ethereum Foundation Borrows $2M in GHO via Aave to Avoid ETH Sales
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The Ethereum Foundation has borrowed a sum worth $2 million in GHO stablecoins from the Aave lending protocol. The Federation chose to use wrapped ETH as backing and not sell its ETH to get money for operations, as it had done in the past.
Over the years, the Foundation acquired grants and organized internal events by selling its ETH aftermarket peaks. Criticism of this practice was strong during market downturns.
Marc Zeller, founder of Aave Chan Initiative, posted the transaction to the social media platform X. He made clear that the Ethereum Foundation could meet its finances without having to sell any ETH. He praised the achievement as proof that Aave can support people with significant amounts of Ethereum who want liquidity but do not want to sell their holdings.
