TechFlow reports, according to data from crypto analyst D_Ignas, the Ethereum Foundation currently holds ETH worth $845 million, approximately 0.25% of ETH's total supply.
According to its latest report, the Ethereum Foundation allocated $30 million in Q4 2023 and $8.9 million in Q3 2023. Funds were primarily used for global conferences, online courses, and innovative projects—such as "Email Wallet," which sends cryptocurrencies via email, and "Daimo," a non-custodial smart contract wallet supporting only stablecoins.
The Ethereum Foundation appears to favor funding educational initiatives and niche but interesting projects that may struggle to secure significant venture capital, which might explain its reluctance to fund DeFi protocols already backed by external investment.
However, the Ethereum Foundation lacks comprehensive and transparent reporting on total expenditures. The most recent available report from 2021 shows total spending of $48 million across internal costs, external grants, and awards: $21 million on L1 research and development, $9.7 million on community development (including grants and education), and $5.1 million on internal operations (salaries, legal fees, etc.).
At a spending rate of $100 million per year, the Ethereum Foundation would deplete its ETH reserves within eight years, meaning it will need either ETH price appreciation or staking yields to sustain operations over the long term.
