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- Mougayar said the Ethereum Foundation serves the protocol, not ETH price.
- ETH sales and unstaking moves raised fresh questions from Ethereum holders.
- Mougayar said the Foundation should fund work that strengthens Ethereum.
Blockchain researcher William Mougayar defended the Ethereum Foundation as criticism grew over ETH sales, unstaking moves, and limited public communication. He said critics often judge the group by market expectations rather than its role in supporting Ethereum’s protocol development.
Mougayar shared his view in an X post titled “Leave the Foundation Alone.” He argued that the Ethereum Foundation exists to serve Ethereum, not to protect the short-term price of ETH.
He said ETH, Ethereum, and the Foundation are separate parts of the ecosystem. Mougayar described ETH as money, Ethereum as shared compute, and the foundation as a nonprofit body with a shrinking long-term role.
Ethereum Foundation ETH Sales Linked to Core Operations
His remarks came after several treasury moves drew attention from ETH holders. Related coverage reported that the Ethereum Foundation sold 10,000 ETH to BitMine on May 1 at an average price of $2,292.
That sale came after another 10,000 ETH sold by BitMine a week ago. In March, the Foundation also completed a sale of 5,000 ETH via an OTC transaction at a price of $2,042.96 per ETH.
The May sale will be used for core operations and ecosystem activity, the foundation said. It mentioned that the funds would go towards protocol research, grants, community work, and general Ethereum development.
There have also been questions about staking activity from the Ethereum Foundation. On April 26, it unstaked 17,035.326 ETH, worth about $40 million at the time.
The move came shortly after the group moved close to a 70,000 ETH staking target. The Foundation did not explain the April unstaking action when it happened.
That silence caused some market users to doubt if the ETH can be sold later. The report, however, said there was no official statement linking the withdrawal to a market sale.
Ethereum Foundation Focuses on Protocol Work
An update on May 12 shows that the Foundation had unstaked 21,270 ETH from Lido. During the unstaking process, the funds were added to Ethereum’s withdrawal queue, Arkham said.
Mougayar believes that the work of the Ethereum Foundation should be aimed at strengthening Ethereum. He said it should support work that might not be well supported by other parts of the ecosystem.
This position reflects the group’s grant activity. It has funded zero-knowledge research, security for validators, Ethereum clients, and public infrastructure.
Mougayar also rejected the view that the Foundation should act as a marketing team for ETH. As the network matures, he stated, the support group should be less central.
The debate remains on the role that the foundation plays. Some holders are asking for clear updates, while Mougayar said the protection of the protocol should be its primary job.
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