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Jul 31, 2026
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ENS Labs keeps DAO wallet, moves $65M endowment to Foundation safeguards

2 min

ENS Labs revised a governance proposal after delegate criticism: the DAO keeps custody of its primary operational wallet holding ETH and stablecoins, while only the $65 million Endowment Safe is set to move to the Foundation under a timelock with Security Council cancellation rights. The DAO’s 54.6 million ENS tokens remain with tokenholders. The Foundation receives a 1 million ENS grant that vests over multiple years.

Key changes

  • Primary operational wallet: remains under DAO custody.
  • Endowment Safe: $65 million can transition to the Foundation with a timelock and Security Council safeguards.
  • Token treasury: 54.6 million ENS stays with tokenholders; Foundation to receive 1 million ENS vesting grant.

Governance implications

The revision removes the transfer of the DAO’s core operating funds to maintain decentralized control. Delegates’ pushback led to adjustments, indicating active governance. The Endowment Safe transition is framed as a narrower operational change with defined controls and an emergency backstop via the Security Council. Keeping the ENS token treasury with holders preserves voting power distribution. A vesting grant funds the Foundation while limiting immediate control.

Operational balance

The structure separates daily operational custody from long-term endowment management. It enables professional execution through the Foundation without shifting core treasury authority. Guardrails include timelocks and cancellation rights to mitigate execution risk during transitions.

Context

ENS provides naming infrastructure for Ethereum and the broader crypto ecosystem. The revised approach aims to balance professionalization and decentralization, maintaining community authority over critical assets while clarifying the Foundation’s role in endowment and long-term operations.

TL;DR

  • ENS Labs revised a treasury-control proposal after delegate criticism.
  • The DAO retains custody of its primary operational wallet.
  • The $65 million Endowment Safe can move to the Foundation with timelock and Security Council safeguards.
  • Tokenholders keep 54.6 million ENS; Foundation gets a 1 million ENS vesting grant.

Source: ENS governance materials and validated notes on the revised Foundation treasury proposal. More details: Discuss.