Welcome back,
In today's blog we will talk about Ethereum foundation and how it is responsible for the growth of ethereum in someway or the other.
So i would like to start here by asking a question to the readers, have you heard of the ethereum foundation before? What do you know about it in case you have heard about them.
What is Ethereum Foundation ?
Ethereum foundation is said to be a foundation that is responsible for bringing in new developments as well as promoting ethereum blockchain all around the world. They are said to be anon profitable organisation as they proclaim to not use any of the ethereum for their personal sake.
According to a report they hold more than 300000 ethereum in april 2022 and that was 0.297% of the total number of ethereum that will ever exist in this world or you can say 0.297% of the total supply belongs to this foundation alone.
They also are responsible for researching new things and to know how much they value the need of research can be told by the amount of money they have spent on research in 2021, they spent a total of $48 million.
The foundation historical record of selling ETH
Now as we have understand about the ethereum foundation, let us move forward and learn about their historical record of selling ethereum again as they say not for their personal sake but all for the research and development of the blockchain itself.
I actually agree as well as disagree with their statement that they only sell to pay the developers, researchers, and, for promotion and the reason behind that is quite simple, they were seen selling ethereum worth in millions of dollars when it touched $4500+.
One of the two top selling events in last three years was during the bull run in the month of november 2021 when ethereum actually touched 4700 dollars. At that time the foundation sold around 20000 ethereum all alone and the other was from may 2021 when they sold even more ethereum worth $123 millions.
Interestingly the price dropped by almost half after these selling events and that is something that arise questions for the foundations. Anyways, i am quite a small person to question them and so i will limit myself with sharing these data here with all of you. You are free to make opinions in the for or against the foundation now.
Lastly, we cannot deny that they do pay alot of money to the developers without a doubt and the money is for sure used for Research and development but there is no full transparency.
Latest Selling event, Does it really matter?
So there is another selling event noted today itself where the foundation converted 1700 ethereum into USDC stable coin. This amount is much less compared to the event we talked about in the above section of my blog.
Where earlier the selling reached to $123 million, this selling event was only worth $2.76 million only and this is obviously quite less. The transaction was still huge if we don't compare it with the recent ones and so it was clearly noted and reported by different crypto organizations. Just to make aware, these usdc coins were converted from ethereum on Uniswap.
Conclusion
So we talked about Ethereum foundation today and learnt about who they are and how they are responsible for the development of the blockchain itslef.
To conclude i will say that this foundation is really working towards making ethereum better day by day though i would not comment on whether they are really non profit organisation.
Few of there selling events, specially the one during the highs of ethereum in bull market was questionable. People must understand that they have rights to sell and multiply there ethereum just like every other person but then they must inform people about this as they are non profitable organisation that works towards making ethereum a better chain.
That is what i wanted to talk about today, dive in the comment section and let me know what you think about this foundation after learning about these datas from the past. I will now end writing this blog!
Thank You