Brains Not Working? Ethereum Foundation Under Fire For Repeated ETH Sell-Offs

Christian Encila

4 months ago

4 mins read

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Ethereum is off to a rocky start this 2025, and its vibrant dev community isn’t happy. According to reports, the Ethereum Foundation has recently moved a substantial amount of Ether. The foundation’s transactions to move and sell its tokens became messier when one of its employees attempted to explain the situation, generating a lot of backlash.

Ethereum’s recent transactions have occurred since Bitcoin and other top tokens have been ripping through the charts. Price-wise, Ethereum is trading between $3,200 and $3,384, which is too far from 2021’s high of $4,870.

What’s Up, Ethereum Foundation?

The Ethereum Foundation, the primary organization supporting the development of the blockchain, is not helping the cause. Regardless of its intention or the overriding objectives for unloading massive ETH tranches, these moves still leave a bad taste in the mouths of most holders and supporters.

According to a recent post by Spot On Chain on Twitter/X, the foundation has recently moved another 100 ETH in exchange for 336,475 DAI. According to the account, the foundation sold 200 ETH tokens for $67k in the first few days of 2025 at an average cost of $3,361. The account added that ETH is 31% below its 2021 high of $4,878, while Bitcoin continues to retest its highs and currently breached the $109k level.

[ATTENTION] The Ethereum Foundation just sold another 100 $ETH for 336,475 $DAI!

In total, they have sold 200 $ETH ($672K) in 2025 at an average price of $3,361 over the past 12 days.$ETH remains 31% below its 2021 ATH of $4,878, while $BTC has hit a new ATH of $109K today!… https://t.co/9CWWVsrfhj pic.twitter.com/ZOr504i1HG

— Spot On Chain (@spotonchain) January 20, 2025

Ether Supporter’s Comments Draw Negative Feedback

The foundation’s latest transaction, the sale of 100 tokens, came after Josh Stark’s comments came to light. Stark, a popular ETH supporter, defended the foundation’s decision to sell these ETH tokens, arguing that they’re still actively using the blockchain’s native token.

the EF uses Ethereum all the time, for instance to (1) swap ETH for stables (usually @CoWSwap) and (2) to pay people (grantees, team members) in stables and ETH, on mainnet and L2s. Events we run (like Devcon and Devconnect) take onchain payments and use onchain ID for tickets.

— Josh Stark (@0xstark) January 20, 2025

In a Twitter/X posting, Stark explained that the foundation uses its tokens every time. These tokens buy stablecoins, pay their people in stablecoins, and support the blockchain’s events.

ETH is currently trading at $3,297. Chart: TradingView

Stark’s comments didn’t sit well with some crypto observers and commentators. Twitter/X user WazzCrypto hit Stark for using ETH “dump” as an explanation to support the foundation’s transactions. User @VelvetMilkman was disappointed with Stark, arguing that it’s a lame excuse for using the altcoins.

Meanwhile, X user Trading_Axe has a more scathing, and no holds barred take on the issue:

Their brains actually do not work at all.

The fuck you need 300K for so urgently?

What could you POSSIBLY, as the ETHEREUM FOUNDATION, when the entire world is watching, need 300K OF A PUBLIC SELL ORDER for?

Mindless cockroaches.

Retar Dio.

— ً (@trading_axe) January 20, 2025

Buterin Sets The Record Straight For ETH

Many critics say Ethereum is losing ground against other blockchains, particularly Solana. As such, many recommend that Ethereum stake its tokens instead of selling them to generate yields. The increasing number of comments and criticisms against the foundation has caught the attention of Vitalik Buterin, Ethereum’s co-founder.

Buterin said the team has also explored many options, including staking their tokens. However, regulatory issues and potential problems with the hard fork prevented them from doing so. Although there’s a friendly regulatory environment right now, the risks associated with staking remain high.

Featured image from ETF Stream, chart from TradingView

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

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