The Ethereum Foundation has cleared up confusion about its recent transfer of 35,000 ETH, worth around $94 million, to the Kraken exchange.
Aya Miyaguchi, the Foundation’s Executive Director, explained on X that the move was part of a planned strategy to convert some of its crypto holdings into cash. The funds are needed for grants, salaries, and other expenses, especially for those who prefer traditional currency over crypto payments.
This transfer has sparked worries within the Ethereum community, leading to rumors and questions about the Foundation’s financial situation.Â
Miyaguchi noted that delays due to regulatory issues prevented the Foundation from communicating its plans earlier, which added to the speculation. She emphasized that this wasn’t an immediate sale, but the start of gradual sales intended to avoid disrupting the market.
The lack of transparency before the transaction led to criticism, with some community members asking for more regular financial updates. Many suggested that the Foundation should provide quarterly reports that detail their spending and plans for selling assets. There are also calls for a dedicated team to handle communication and keep the community informed.
Despite the initial concerns, Ethereum’s price held up well, rising by 4.5% and reaching $2800 shortly after the news.
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