Ethereum Foundation fulfilling its true mission, blockchain expert argues amid criticism
According to William Mougayar, those criticizing the Ethereum Foundation are using incorrect metrics, as the organization was never designed to boost ETH prices or attract institutional players.
One prominent blockchain researcher has come to the defense of the Ethereum Foundation amid mounting criticism, asserting that the entity is performing "exactly" the role it was created to fulfill, and that critics have fundamentally misunderstood its purpose.
Through an X platform post entitled "Leave the Foundation Alone," William Mougayar, a Toronto-based author, blockchain investor and researcher known for his best-selling work, contended that the EF functions as a protocol steward rather than a promotional vehicle.
According to Mougayar, the Ethereum Foundation, Ethereum itself, and ETH represent three distinct entities, each following separate paths. "The asset is money. The infrastructure is shared compute. The Foundation is a non-profit that is steering the protocol toward irrelevance for its own founders," he stated, further explaining that conflating these three elements results in flawed forecasts and misdirected frustration.
The statement arrives during a period when the foundation has encountered substantial backlash from members of the cryptocurrency community in recent months. The organization's ETH liquidations, unstaking activities and lack of public communication have repeatedly sparked allegations that it is negatively impacting ETH's market valuation.
EF is hardening the protocol
According to Mougayar, the EF follows a "subtraction path," deliberately reducing its centrality to Ethereum as time progresses. "It is hardening the protocol so the world does not need it so much. It is shipping upgrades. It is funding the research that nobody else funds," he stated.
He proposed that the backlash originates from individuals seeking centralized leadership. He maintained that anticipating the EF to promote ETH or attract institutional investors is "like expecting the IETF to run Super Bowl ads for TCP/IP."
At present, ETH is valued at $2,117.09, reflecting a 4.67% increase over the previous 24-hour period. Nevertheless, the cryptocurrency has declined more than 57% relative to its peak value of $4,953 achieved in August last year, based on information from CoinMarketCap.
EF sells, unstakes ETH
Earlier during this month, the foundation finalized its third over-the-counter transaction of ETH with BitMine Immersion Technologies, disposing of 10,000 ETH at a mean price of $2,292, totaling approximately $22.9 million. When combined with two preceding sales, 5,000 ETH during March and an additional 10,000 ETH the week before, the Foundation has liquidated roughly $47 million in ETH to BitMine over recent weeks.
This transaction also occurred soon after the foundation withdrew 17,035 ETH valued at around $40 million from staking. The EF additionally unstaked a further 21,270 Ether from Lido, representing nearly $50 million in value, earlier during this month.