Blockchain researcher William Mougayar has stepped up to defend the Ethereum Foundation following months of scrutiny over its ETH sales, unstaking activities, and lack of public communication. In a post titled “Leave the Foundation Alone,” Mougayar argued that critics often apply the wrong metrics to judge the organization. He emphasized that the Foundation’s primary mission is to support the Ethereum protocol, not to manage the market price of ETH.
Mougayar clarified that ETH, Ethereum, and the Ethereum Foundation are distinct entities within the ecosystem. He described ETH as a form of money, Ethereum as a shared computing platform, and the Foundation as a non-profit entity that aims to gradually minimize its own role over time. According to him, the Foundation’s core function is to harden the network and fund research that might otherwise go unsupported.
The defense comes amid ongoing questions about the Foundation’s treasury management. Recent reports indicate that the Foundation sold 10,000 ETH to BitMine on May 1 at an average price of $2,292 per ETH. This transaction followed a similar sale of 10,000 ETH a week earlier and a 5,000 ETH sale in March at $2,042.96 per ETH, all conducted via over-the-counter deals. The Foundation stated that the proceeds from the May sale would fund core operations including protocol research, ecosystem development, and community grants.
In addition to sales, the Foundation has made notable staking adjustments. On April 26, it unstaked 17,035.326 ETH, valued at roughly $40 million, shortly after approaching a 70,000 ETH staking target. Then on May 12, the Foundation withdrew 21,270 ETH from Lido staking, placing the funds into Ethereum’s withdrawal queue. The Foundation did not provide an official explanation for the April unstaking, leading some market observers to speculate about potential future sales, though no direct link to selling was confirmed.
Mougayar rejected the notion that the Foundation should serve as a marketing arm for ETH, arguing instead that its purpose is to ensure the protocol’s resilience and gradual decentralization. He believes that the Foundation’s grant activities—which support zero-knowledge research, validator security, client development, and public infrastructure—are more aligned with its true mandate. The ongoing debate reflects a fundamental divide: some ETH holders desire clearer communication and fewer large treasury moves, while Mougayar contends that the Foundation should prioritize protocol protection over short-term market expectations.