Ethereum Foundation Begins Staking 70,000 ETH to Fund Core Operations and Secure Network

The Ethereum Foundation (EF) has started staking a portion of its treasury, shifting how it manages its $ETH reserves. The move aligns with the treasury policy the organization introduced last year, which balances long-term sustainability with Ethereum’s core values.

The initiative began with an initial deposit of 2,016 $ETH. In total, approximately 70,000 $ETH will be staked, with all rewards redirected back into the Foundation’s treasury.

Staking Rewards to Fund R&D and Ecosystem Growth

According to the EF, staking rewards will help fund core operations, including protocol research and development, ecosystem expansion, and community grant programs. Rather than holding $ETH passively, the Foundation will now generate yield while contributing to network security.

Data from Arkham Intelligence previously showed that the EF oversees roughly $371 million in assets, of which about $314 million is denominated in $ETH. The decision to stake part of these holdings comes amid growing community calls for more efficient treasury management.

Open-Source Infrastructure Across Multiple Jurisdictions

For its staking operations, the Foundation is using open-source tools Dirk and Vouch, developed by infrastructure firm Attestant (Bitwise Onchain Solutions).

Dirk functions as a distributed signer, allowing validator operations across multiple jurisdictions and reducing the risk of a single point of failure. Vouch manages validator coordination and supports multiple client pairings to mitigate client diversity risks.

The EF said its setup includes minority clients and a mix of hosted infrastructure and self-managed hardware across several countries, reinforcing decentralization and resilience.

Shift After Criticism Over Treasury Strategy

The move comes after months of criticism about the Foundation’s $ETH sales and lack of treasury transparency. Recently, Ethereum co-founder Vitalik Buterin revealed he sold over 10,000 $ETH and also contributed 16,384 $ETH to support ecosystem projects during what he called a “moderate austerity” period.

After $ETH’s sharp price drop in recent months, the Foundation’s decision to stake reflects a shift toward earning yield and building long-term sustainability. By staking 70,000 $ETH, the Ethereum Foundation helps secure the network while generating ongoing income to fund future development.

Related: Vitalik Buterin Sells 2,961.5 $ETH in 3 Days, Triggers Selloff Speculation