Rumors suggesting that the Ethereum Foundation was responsible for a $56 million deposit into the decentralized finance protocol Sky have been refuted by members of the Ethereum community. The speculation arose when a wallet address deposited over 30,000 Ether into Sky, leading some to believe the Foundation had initiated the transfer as an alternative to selling Ether for operational funding.
An Ethereum developer disputed these claims, with community figures such as Eric Conner and Anthony Sassano stressing that the wallet is not connected to the Foundation. Further investigation indicated that the wallet likely belongs to an early Ethereum investor, not the Foundation itself. The address had previously received a significant transfer from the Ethereum Foundation’s ETH sale in 2022, and its recent actions appear to be a strategy to avoid liquidation amid a declining Ethereum market.
In the context of managing its assets, the Ethereum Foundation has previously opted to convert Ether into stablecoins to support its financial obligations but has also explored leveraging decentralized finance platforms to borrow against its Ether holdings. Earlier this year, the Foundation directed 45,000 Ether into DeFi platforms like Aave, Spark, and Compound, a move well-received by the community as it aligns with the proposed strategy of utilizing borrowing mechanisms instead of asset sales. The Foundation has committed to further engagements within the DeFi space, indicating ongoing interest and participation in decentralized financial systems.
