The Ethereum Foundation announced that it has completed a sale of 5,000 $ETH in the over-the-counter (OTC) market.
According to the foundation’s statement, the sale was conducted at an average price of $2,042.96 per $ETH.
The statement indicated that the OTC counterparty to the transaction was the crypto investment company Bitmine. Such OTC transactions are typically preferred to limit price volatility in the market and prevent large-scale selling from creating sudden price impacts on exchanges.
Bitmine is known for consistently accumulating $ETH, similar to Michael Saylor’s Strategy company, and the company has no plans to sell $ETH anytime soon. Therefore, this sale by the Ethereum Foundation will not create selling pressure in the market, at least for now.
The Ethereum Foundation stated that the proceeds from the sale will be used to fund the organization’s core operations and activities, including protocol research and development, ecosystem development programs, community grants, and other support programs. The Foundation also argued that this transaction is part of its regular financial management activities, conducted under its previously published treasury management policy.
*This is not investment advice.
