Ethereum Foundation Does Not Conduct Recent Sale of $7.7 Million Worth of Ether
In a recent development, a significant amount of Ethereum (ETH) was reportedly sold, with the transaction attracting attention due to its connection to the Ethereum Foundation.
According to the Unchained Daily newsletter and blockchain analytics firm Lookonchain, 1,695 ETH were sold for approximately $7.72 million in DAI stablecoin at around $4,556 per ETH. However, it's important to note that this sale was not actually an operation of the Ethereum Foundation.
Hsiao-Wei Wang, Co-Executive Director of the Ethereum Foundation, addressed the situation in an X post on Wednesday. She clarified that the transaction was not their operation. Wang explained that many addresses linked to the Foundation from Ethereum’s 2014 Initial Coin Offering (ICO) era no longer belong to the Foundation given how its ETH holdings have diminished significantly since then.
The wallet involved in the sale, 0xF39d, originally received 20,756 ETH from the Ethereum Foundation wallet 'EF 1' in 2017. However, the Foundation has emphasized that possession of wallet history does not imply current ownership or operational control. This highlights the complexity of interpreting blockchain data related to organizational holdings.
The exact identity or affiliation of the seller of the 1,695 ETH remains unclear. The Ethereum Foundation has not confirmed or denied any involvement or control over that wallet or the transaction.
It's worth mentioning that the current value of 20,756 ETH is approximately $95.5 million, a testament to the growth of Ethereum since its inception.
Interestingly, Ethereum is within striking distance of its all-time high price. In the last week, ETH has gained 30%, with its current price at $4,781. This surge in value could potentially increase the interest in any transactions involving large amounts of Ethereum.
Despite the denial of the Ethereum Foundation's involvement in the sale, the event serves as a reminder of the transparency and traceability that blockchain technology offers, even as it also presents challenges in interpreting the data associated with organizational holdings.
Investors might be curious about the decision to sell 1,695 ETH from a wallet once associated with the Ethereum Foundation, given the significant growth of Ethereum's value. However, it's crucial to understand that the Ethereum Foundation did not execute this particular transaction, as highlighted by Hsiao-Wei Wang, Co-Executive Director of the Foundation.
