The Ethereum Foundation (EF) has released a report detailing how their $1.6 billion hoard consists mostly of ether (ETH) but with a surprising 18.8% non-crypto assets .
Overall, the non-profit EF organization that manages the funds for Ethereum developments holds about 0.3% of the current total ETH supply, which amounts to about $1.3 billion, which is verifiable on Etherscan. However, the non-crypto holdings account for a sizeable $302 million.
The April 2022 report is the first report issued by the foundation outlining what it holds in the treasury and how it allocates spending, including grant funding for various Ethereum-based projects. Overall, EF appears to have a very strong financial footing, having spent just $48 million in 2021.
The report stated that it increased its non-crypto holdings to $302 million from a previously undisclosed amount. This amount is said to offer “a larger margin of safety” to protect it from a downturn in the crypto market.
The foundation did not immediately respond to a request for disclosure of the details of these non-crypto holdings. However, Ethereum researcher Justin Drake suggested that the non-crypto holdings were just fiat reserves in an April 18 report tweet.
EF spent $48 million in 2021
it has 350,000 ETH ($1B) and $300M in fiat pic.twitter.com/0yLXNHy3Aj
— Justin Ðrake (@drakefjustin) April 18, 2022
The foundation spent $21.8 million on Level One (L1) research and development, the majority of its spending over the past year. This total does not include the Client Incentive Program (CIP), an ongoing program that rewards nine designated node operators with a share of 39,168 ETH ($132 million) on a fixed schedule.
There was another $9.7 million for community development, $5.9 million for Ethereum as a developer platform, $5.1 million for international operations, $3.6 million for ZK (Zero -Knowledge) research and development and $1.9 million for Layer-Two (L2) research from development.
As far as I know, this is the first time the Ethereum Foundation has publicly listed all of its treasury holdings.
— sassal.eth (@sassal0x) April 18, 2022
Related: ETH developers implement the first-ever “shadow fork” as PoS testing continues
EF’s financial report comes just a few months earlier The merger is planned take place where the Ethereum mainnet transitions to a Proof-of-Stake (PoS) consensus algorithm. This is expected to significantly reduce the energy requirements and carbon footprint of the network.
https://cointelegraph.com/news/ethereum-foundation-treasury-expands-non-crypto-assets-to-19 Ethereum Foundation Treasury Expands Non-Crypto Wealth to 19%