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Home » VanEck would donate money to Ethereum developers with the profits from his ETF

VanEck would donate money to Ethereum developers with the profits from his ETF

VanEck, a renowned asset management firm in the United States, announced its commitment to donate 10% of the profits generated from its EFUT ETF to key Ethereum developers. The initiative is contingent on the Securities and Exchange Commission (SEC) approving this financial product in a resolution expected in the coming weeks.

In his publication on social network X, VanEck emphasizes his gratitude to the Ethereum developers for “nearly a decade of tireless construction and ongoing management of this shared infrastructure.”

As an expression of recognition The company committed to using a portion of the profits from its ETF called EFUTto support ProtocolGuild. This is an organization that supports 152 people who are critical to maintaining Ethereum’s core protocol.

VanEck clarifies that while the fund became effective on September 29, 2023, it is “not yet available for trading.” They add that “there is no guarantee that the fund will begin trading at any particular time,” although an SEC decision is expected soon, as CriptoNoticias reports.

The ETH ETF is still awaiting approval from the SEC in the United States. Spring: VanEck.

ProtocolGuild is a community funding mechanism which plays an essential role in the Ethereum ecosystem. Its members actively participate in tasks such as providing updates, of which Merge and Shapella are two notable examples.

In addition, the developers of this team are working on projects such as EIP-4844 (Ethereum Improvement Proposal, known as Proto-Danksharding), which has the potential to reduce costs in the second layers and optimize data storage in Ethereum.

A traditional financial company that supports Ethereum

Prominent Ethereum developers welcomed VanEck’s initiative. After all, it is a company from the world of traditional finance that supports the growth of a network that, among other things, allows the use of decentralized finance protocols (DeFi). That is, protocols that compete with traditional financial companies.

If TradFi (traditional finance) benefits from the work of Ethereum developers, it makes sense that we also give something back for their work. We encourage other asset managers and ETF issuers to do the same.

VanEck statement in X

The developer is known under the pseudonym foobar express that “this is crazy” and that “I never expected to see it in a million years.” “‘Ethereum Alignment’ is an incredibly powerful narrative, it’s rare for such large institutions to understand this,” he concluded. In his message, VanEck highlighted the contribution of projects such as Lido Finance, Arbitrum, Uniswap, Optimism, ENS, Moloch DAO and Nouns DAO through the Protocol Guild.

His colleague Tim Beiko is going in the same direction assured that it is “very exciting to see a TradFi (traditional finance) company funding the development of Ethereum directly with its profits.” “I hope that they set an example for many companies in this space that rely on open protocols can,” concluded the Canadian.

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