Brains Not Working? Ethereum Foundation Under Fire For Repeated ETH Sell-Offs
Ethereum is off to a rocky start in 2025, and its vibrant development community is not happy. According to reports, Ethereum Foundation A large amount of Ethereum has been moved recently. The foundation’s transaction to move and sell tokens became more confusing when an employee tried to explain the situation, sparking a backlash.
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The most recent transactions on Ethereum occurred from Bitcoin and other top coins have been breaking through on the leaderboards. In terms of price, Ethereum It is trading between $3,200 and $3,384, too far away from the 2021 high of $4,870.
What happened to the Ethereum Foundation?
The Ethereum Foundation, the main organization supporting blockchain development, is not helping the cause. Regardless of their intentions or primary goal of dumping large amounts of ETH, these moves still left a bad impression on most holders and supporters.
According to a recent Spot On Chain post on Twitter/X, the foundation recently transferred an additional 100 ETH in exchange for 336,475 DAI. According to the account, the foundation sold 200 ETH tokens for $67,000 in the first few days of 2025, with an average cost of $3,361. The account added that ETH is 31% off its 2021 high of $4,878, while Bitcoin continues to retest its highs and is now above the $109,000 level.
(Note) The Ethereum Foundation just sold 100 more $ETH 336,475 $DAI!
They sold a total of 200 pieces $ETH The price in 2025 is $672,000, with the average price over the past 12 days being $3,361.$ETH Still 31% below the 2021 ATH of $4,878, while Bitcoin USD New ATH reached $109,000 today! … https://t.co/9CWWVsrfhj pic.twitter.com/ZOr504i1HG
— Spot On Chain (@spotonchain) January 20, 2025
Ethereum supporter’s comments draw negative feedback
The foundation’s latest transaction was the sale of 100 tokens 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 are still actively using the blockchain’s native token.
EF has been using Ethereum, for example (1) to exchange ETH for stablecoins (usually @CoWSwap) and (2) pay people (grantees, team members) in stablecoins and ETH on mainnet and L2. The events we host, such as Devcon and Devconnect, use on-chain payments and use on-chain IDs to obtain tickets.
— Josh Stark (@0xstark) January 20, 2025
In a post on Twitter/X, Stark explained that the foundation uses its tokens every time. These tokens purchase stablecoins, use the stablecoins to pay employees, and support blockchain activities.
Stark’s comments did not go down well with some cryptocurrency observers and commentators. Twitter/X user WazzCrypto criticized Stark for using an ETH “dump” as an explanation for supporting the foundation’s transactions. User @VelvetMilkman is disappointed with Stark and thinks this is a lame excuse to use altcoins.
Meanwhile, X user Trading_Axe had a harsher, more unqualified take on the issue:
Their brains don’t actually work at all.
You need 300K so damn urgently?
As the Ethereum Foundation, what could you possibly need 300,000 public sell orders for when the whole world is watching?
Brainless cockroach.
Challenge Dior.
— ً (@trading_axe) January 20, 2025
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Buterin refreshes ETH record
Many critics say that Ethereum is losing ground relative to other blockchains, especially Solana. Therefore, many people recommend Ethereum to stake its tokens instead of selling them to generate revenue. The growing number of comments and criticisms against the foundation has caught the attention of Ethereum co-founder Vitalik Buterin.
Buterin said the team has also explored a number of options, including staking their tokens. However, regulatory issues and potential problems with hard forks prevent them from doing so. Despite the current friendly regulatory environment, the risks associated with staking remain high.
Featured image from ETF Stream, chart from TradingView
