The Ethereum Foundation (EF) is facing a wave of community backlash after offloading another 10,000 ETH to BitMine Immersion Technologies. This latest transaction marks the third over-the-counter (OTC) deal between the two entities, totaling approximately $47 million in sales within a single week.
The most recent sale saw the ETH moved at an average price of $2,292 per coin, netting the Foundation roughly $22.9 million. This follows a nearly identical sale of 10,000 ETH just seven days prior at a slightly higher price point. In an official statement on X, the Foundation defended the move, stating that the capital is essential for funding core operations, including protocol research and development, ecosystem grants, and community initiatives.
Community Backlash Grows as EF Trims Holdings
Despite the Foundation’s transparency regarding operational costs, the “crypto-Twitter” community remains skeptical. Critics are questioning the massive “burn rate” of the organization, with users demanding to know why nearly $50 million is required in such a short window and why developers aren’t being compensated directly in ETH to mitigate sell pressure.
The timing of these sales is particularly sensitive. The Ethereum Foundation recently unstaked over 17,000 ETH, signaling a departure from its previously stated goal of maintaining 70,000 staked ETH. This pivot has led many to wonder if the EF is bracing for a shift in market dynamics or simply prioritizing liquid capital over staking rewards. Currently, ETH is trading around the $2,303 mark, a significant 53% drop from its all-time high of nearly $5,000 recorded last August.
BitMine Becomes the Ultimate Ethereum Treasury Giant
On the other side of these transactions sits BitMine Immersion Technologies, chaired by Tom Lee. While the Foundation trims its sails, BitMine is aggressively expanding its footprint. The firm now holds nearly 5 million ETH, solidifying its position as the largest Ethereum treasury company in the world.
BitMine isn’t just hoarding the asset; it’s putting it to work. The company has ramped up its staking efforts significantly, with 83% of its total holdings (approximately 4.19 million ETH) now locked in staking contracts. This massive $9.5 billion stake represents a sharp increase from the 70% staking ratio reported just a week earlier. While the Ethereum Foundation focuses on funding the network’s development, BitMine appears to be betting heavily on the long-term yield and security of the Ethereum ecosystem.
