[Ethereum Foundation’s second quarter 2024 cryptocurrency allocations top $8.4 million amid review]
The Ethereum Foundation (EF) spent more than $8.4 million on cryptocurrency grants in the second quarter of 2023. The announcement shows that these grants are used to support projects such as community education, cryptography, zero-knowledge proofs, developer experience, protocol growth and staking. Some users praise the foundation's transparency and the impact these grants have on the market.
EF's mission is to promote the growth and sustainability of the Ethereum network. Recently, the community has questioned the foundation’s allocation of funds. Vitalik Buterin, co-founder of Ethereum, said on the X platform that this announcement clearly shows the use of EF’s funds. He noted that a total of $8.4 million was allocated to grants in the second quarter.
Cryptocurrency users have also recently scrutinized EF’s $100 million budget, particularly its stance on the decentralized finance (DeFi) industry. The main focus is on increasing the budget from $41 million in 2021 to $100 million in 2024. EF executive director Aya Miyaguchi said the funds are mainly used for grants and salaries.
Despite this, the Ethereum Foundation’s grants have not significantly increased the proportion of investments in the Web3 ecosystem. Funding allocations for growth reflect the current state of the market, with venture capital firms also boosting their investments in the crypto industry this year.
New reports show that cryptocurrency adoption has surged in recent years, leading to more use cases and rising prices. The U.S. Securities and Exchange Commission’s approval of a spot Bitcoin ETF has accelerated institutional investment, with billions of dollars pouring into the industry, and traditional companies also starting to cooperate with crypto projects.
