Ethereum Foundations Annual Report Highlights $500 Million Investment in Ecosystem Growth
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Key takeawaysThe Ethereum Foundation and other ecosystem groups spent nearly $500 million over the last two years to support various projects.Ethereum-related organizations have over $22 billion in treasury funds, mostly in their native tokens.The Ethereum Foundation introduced a policy requiring members to disclose large investments in other assets besides Ether.Ethereum Foundation Leads $500M Funding Effort to Grow Ecosystem, Backed by $22B in TreasuryAccording to the Ethereum Foundations 2024 annual report, nearly $500 million was used to support various projects in the ecosystem over the last two years.The report revealed that groups within the Ether network spent a total of $497 million on project funding. The Ethereum Foundation contributed $240.3 million, 48.3% of the total funding.The rest of the funding came from several other organizations within the Ethereum community. These groups include Aragon, MakerDAO, Optimism, Gitcoin, Decentraland, Uniswap, Starknet, Protocol Guild,and MeataMask DAO.This wide range of contributors highlights teamwork in the Ethereum ecosystem. Each organization added its own support, showing a strong community effort to develop and grow Ethereum.In addition to the funds spent on projects, the Foundation reported that the entire ecosystem is backed by more than $22 billion in Treasury funds. These treasuries are held by different foundations, organizations, and decentralized autonomous organizations (DAOs).Projects like Optimism, Uniswap, Mantle, Arbitrum, Gnosis, and Ethereum Name Service each have billions stored in their treasuries to support their work and growth.The Ethereum Foundation itself holds $970 million in its treasury. This large pool of funds gives the Ether ecosystem robust financial support and resources for ongoing development.Also, the report explained that the treasury amounts include both liquid and vested funds. Liquid funds can be used immediately, while vested funds are held for future use.Most of the project treasuries comprise mainly of the projects native tokens. So, the total value of a projects treasury may look high, but it doesnt all translate to liquid cash.The report pointed out that if a project tried to sell a large part of its treasury at once, it might affect the tokens price. Selling too many tokens at once could cause the price to drop significantly.Despite these limitations, the Ethereum Foundation believes the amount still shows the depth of resources that Ethereum has for the future. The Foundation explained that even if only a tiny part of this treasury was used, it could still provide substantial support.In other words, these resources ensure that ETH can sustain itself and expand, even with just a fraction of the treasury being spent.New Policy to Boost Integrity and Transparency in Decision-MakingIn the report, the Ethereum Foundation shared that it has put a conflict of interest policy in place. This policy requires Ether Foundation members to disclose investments over $500,000, except those in ETH.The Foundation explained that a member with a large financial stake outside of Ether might not be allowed to participate in certain decisions. This would apply to situations where their investment could create a conflict with the Foundations goals.Ethereum Foundations executive director, Aya Miyaguchi, shared a message about this policy on X. She explained that the policy is meant to reinforce the integrity of the Foundations work.By setting these rules, the Foundation wants to ensure its actions stay honest and trustworthy. Miyaguchi said this policy also aims to strengthen the entire Ethereum ecosystem.Add Techreport to Your Google News Feed Get the latest updates, trends, and insights delivered straight to your fingertips. Subscribe now! Subscribe now Rida is a dedicated crypto journalist with a passion for the latest developments in the cryptocurrency world. With a keen eye for detail and a commitment to thorough research, she delivers timely and insightful news articles that keep her readers informed about the rapidly evolving digital economy. View all articles by Rida Fatima Our editorial processThe Tech Reporteditorial policyis centered on providing helpful, accurate content that offers real value to our readers. We only work with experienced writers who have specific knowledge in the topics they cover, including latest developments in technology, online privacy, cryptocurrencies, software, and more. Our editorial policy ensures that each topic is researched and curated by our in-house editors. We maintain rigorous journalistic standards, and every article is 100% written byreal authors.
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