Ethereum Foundation Puts Pressure on Market with $1.68 Million in ETH Sales

The ethereum Foundation, a nonprofit organization dedicated to the blockchain network ecosystem, liquidated $1.6 million worth of eth, according to cryptoanalysis firm Arkham Intelligence.

ethereum-foundation”>Data of the platform reveals that the foundation used the CoW Protocol to sell 700 eth, acquiring $1.6 million in DAI stablecoin. The funds were subsequently transferred to a ADDRESS “0x9ee…313D”, identified as the grant provider by Etherscan.

This transaction, which may have occurred when eth was valued at around $2,400, closely mirrors a previous one from January 16. During that case, the foundation interchanged 100 eth for $253,000, with the funds also going to the grant provider's wallet.

Despite these recent sales, the ethereum Foundation retains a significant cryptocurrency portfolio. He currently holds 312,894K eth, valued at approximately $747.40 million, and 31.2K WETH, valued at $74.65 million. Additional assets in his possession include $1.96 million DAI, $113.61 thousand USDC, and $72.97 thousand BUSD.

Given the considerable volume of eth held by the foundation, its trading activities often influence the asset's price movements. Consequently, market observers often monitor their transactions for potential information about the organization's plans.

As such, the ethereum Foundation's recent selling activities have contributed to a 4.3% drop in the price of ethereum, which is currently trading at $2,386 at press time, according to CryptoSlate data.

ethereum Dencun Update

Curiously, these fund movements coincide with the recent ethereum.org/2024/01/10/goerli-dencun-announcement”>launch of the Dencun update on the ethereum network testnet, Goerli, on January 17. This update aims to alleviate gas fees and improve transaction speeds through improvements to network Layer 2 rollups.

The update is the most technical advancement the blockchain network has seen since the Shapella fork that enabled the withdrawal of staked ether (stETH).

However, a bug delayed the network launch for about four hours before the issue was fixed. fixed through a patch, allowing the network to function without problems.

According to Dencun's test schedule, the next phase of its development will take place soon, with a planned upgrade of the Sepolia testnet and the Holesky testnet in the offing.