Ethereum Foundation’s Crypto Holding Made Up of 99% ETH

Ethereum Investment

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Fredrik Vold

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June 25, 2023

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The Ethereum Foundation (EF), the organization responsible for allocating financial support within the Ethereum (ETH) ecosystem, had USD 1.3bn invested in crypto as of the end of last quarter, with the vast majority of that held in ETH, according to the foundation’s latest report.

The ETH held by the Ethereum Foundation made up 0.297% of the total supply of ETH as of the end of the quarter, the report said. It added that out of the foundation’s total crypto holdings, 99.1% was held in the form of ETH.

ETH’s total market capitalization currently stands at around USD 353.4bn, per CoinGecko.

In addition to crypto, the EF also held USD 300m worth of non-crypto investments in its treasury, in line with what it calls a “conservative treasury management policy.” The policy aims to enable the foundation to fund its core objectives “even in the case of a multi-year market downturn,” the report noted.

“This part of our budget is immune to changes in the price of ETH on a significant timeline,” the quarterly report further claimed. 

Led by Aya Miyaguchi, a former managing director for Japan at crypto exchange Kraken, the Ethereum Foundation said that it systemically increases its non-crypto investments when ETH prices rise, noting that this offers a greater safety margin for its core budget.

“The EF believes in Ethereum’s potential, and our ETH holdings represent that long-term perspective,” the foundation wrote.

At 12:23 UTC, ETH is trading at USD 2,940, down 3.7% in a day and nearly 9% in a week.

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