The Ethereum Foundation has released its 2024 report.
- The Ethereum Foundation has published a report that shows the foundation's asset size and historical expense structure.
- It also outlines a policy for dealing with potential conflicts of interest following community criticism of individual developers.
The Ethereum Foundation, a blockchain support fund, has published a report for 2024. According to it, the organization has funds in the amount of about $970 million, of which $788.7 million is in various crypto assets.
“The Ethereum Foundation’s long-term vision is to support a sustainable and open ecosystem. We are more committed than ever to planting seeds that may take years to mature, ensuring Ethereum is sustainable and growing together,” said Aya Miyaguchi, head of the Ethereum Foundation.
The report includes the organization's divisions, grantees, partners, an updated budget, and a breakdown of expenses for 2022 and 2023, she said.
Overall, the Ethereum Foundation holds $970.2 million in assets, of which $788.7 million is in crypto assets. Ethereum accounts for 99.45% of that. According to the report, the organization controls 0.26% of the asset’s total supply as of October 31, 2024.
“We have decided to hold the majority of our treasury funds in Ethereum. EF believes in the potential of Ethereum, and our holdings in the asset reflect this long-term outlook,” the report said.
The remaining $181.5 million is in cash and “non-cryptocurrency investments,” with no details provided on the latter.
At the same time, in terms of treasury volume, the Ethereum Foundation is at the tail end of the ecosystem projects. The first place, for example, is occupied by Optimism with $3.5 billion, 15.8% of all blocked funds in Ethereum.
From 2022 to 2023 inclusive, all ecosystem projects allocated a total of $497 million to support it. Of this amount, 48.3% came from grants and other support from the Ethereum Foundation.
The document also mentions a policy to combat potential conflicts of interest. Recall that some members of the Ethereum Foundation were criticized when it turned out that they were working with the EigenLayer protocol team. They later decided to leave the project under pressure from the community.
It provides for the following:
- Members of the organization can invest in liquid crypto assets, but must report investments over $500,000;
- In the event of a potential conflict of interest, the internal committee should be consulted;
- in some cases, the latter may make adjustments or even require the participants to abandon the idea.
However, members of the organization may provide consulting services, but must notify if the amount of remuneration exceeds $25,000 per year.
Criticism of the Ethereum Foundation
The organization has been called to account in the community several times over its practice of selling Ethereum. In late August 2024, it was reported that the fund had sold 239,000 ETH (nearly $700 million at the current rate) since the end of 2021, sparking a new wave of condemnation.
Soon after, the organization promised to publish a report. Ethereum co-founder Vitalik Buterin, in turn, called on the community to respect the work of the foundation and its members aimed at supporting the ecosystem and generally improving its efficiency.