Ethereum Foundation has announced an update to its treasury management policy, focusing on long-term goals and enhancing transparency in the management of Ethereum network assets.
This is reported by Finway
Key Aspects of the New Strategy
According to the new policy, the organization plans to optimize the balance between short-term expenses and long-term objectives by implementing more cautious financial resource planning. Annual operating expenses and asset volume remain central variables in management.
As of now, the Ethereum Foundation estimates that its available reserves are sufficient to sustain operations for the next two and a half years. Over the next five years, the organization will gradually reduce support for ecosystem projects and cut annual operating expenses by 5%.
“This policy reflects our belief that 2025-2026 will likely be pivotal for Ethereum, requiring increased attention to critical outcomes,” the organization stated.
An important component of the policy is transparency: the Ethereum Foundation commits to regularly publishing quarterly and annual reports on its financial status.
Current Asset Status and Responses to Criticism
In the second half of 2024, criticism regarding the effectiveness of the foundation’s management policy increased within the cryptocurrency community. This was particularly heightened due to active sales of Ethereum (ETH) from the organization’s reserves. In response, the foundation released an interim and subsequently an annual financial report. As of October 31, 2024, the organization had $970 million at its disposal, primarily in the form of crypto assets, with the majority being Ethereum.
The heightened focus on transparency has led to significant personnel changes in leadership. In March 2025, new top executives were appointed, in April the leadership and board of directors were updated, and in June part of the staff was reduced.
Additionally, in February 2025, the foundation transferred 45,000 ETH — approximately $120 million — into various lending protocols to enhance profitability, which became part of the new capital management strategy. ETH sales are planned in advance and executed through swaps or fiat off-ramps, with the proceeds potentially used in lending protocols or for staking.
In supporting ecosystem projects, the organization applies Defipunk principles, adhering to them in its capital strategy.