Ethereum Foundation Reveals Its First Ever Financial Report, Discloses ETH Holdings
On Monday, April 18, the Ethereum Foundation published its first ever financial report for the year of 2021. The report highlights all the developmental tasks the Foundation has undertaken over the last year and the respective spendings for them.
The Ethereum foundation is a non-profit organization that looks after bolstering growth for the Ethereum ecosystem. The Ethereum foundation also disclosed that it currently holds $1.6 billion worth of assets in its Treasury. Of this, 80% I.e. $1.3 billion in just Ethereum (ETH). This also means that the Ethereum Foundation holds nearly 0.3% of the total Ether (ETH) supply.
Apart from ETH, the Ethereum Foundation also holds $300 million worth of non-crypto investments. Moreover, it has invested another $11 million in other digital assets. The Ethereum Foundation periodically announces donations and grant spendings on its blog.
In the report, Ethereum Foundation director Aya Mayaguchi said that they have been supporting third-party allocates as the network continues to mature. Mayaguchi writes: “[We believe] that more decentralized funding is important for the future of the Ethereum ecosystem. We continuously try to allocate resources to third parties that we believe can make better decisions than us within certain domains”.
Besides, she also shared a lot of non-financial work that goes behind the scenes. She notes: “The support and coordination of conversations related to core protocol development, connecting EF Fellows’ projects from emerging economies with the rest of the Ethereum community, and coordinating with educational groups and efforts are just a few examples”.
Miyaguchi said that she will be offering further details about the Foundation’s vision and principles at a Devconnect event in Amsterdam.
During the last year, the Ethereum foundation spent a total of $48 million. Nearly 40% of this I.e. $21.8 million went towards Layer-one research and development. This includes the Ethereum mainnet upgrade and external grants for network stress testing.
Furthermore, some amount also went towards community development, developer platform, internal operations and support, and Zero-Knowledge (ZK) research and development.
Furthermore, spending in Layer-two research and development stood at $1.9 million including developer tooling and software development kits.
The Ethereum community has been eagerly waiting for The Merge event scheduled ahead this year that will bring the transition to Ethereum 2.0.