Ethereum Foundation Releases Updated Treasury Policy Including 15% Operational Expense Limit
The Ethereum Foundation (EF) has updated its treasury policy to enhance transparency and sustainability. Key points include:
- 15% of the treasury will be allocated annually to operational expenses, with a reserve buffer maintained.
- Operational expenses are set to decrease over five years, targeting a long-term baseline of 5%.
- Periodic sales of ETH will occur, along with diversification into fiat to secure funding for essential projects.
- Treasury management is focused on operational planning and risk mitigation rather than speculation.
- Quarterly financial reports and an annual report will be published to improve transparency.
- The EF's treasury was reported at $970.2 million in October 2024, down 39% from previous reports.
This update comes amid calls for greater accountability within the Ethereum community, following controversies regarding conflicts of interest and increased competition from other blockchains. Recent layoffs in the research arm indicate ongoing restructuring efforts.