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Vitalik Pledges $45 Million in ETH to Boost Privacy and Open Tech
Key Takeaways
- Vitalik Buterin plans to allocate 16,384 ETH from his own holdings to support privacy tools, open hardware, and verified software;
- The ETH will be distributed gradually over several years, using staking strategies to generate additional funding via rewards;
- The decision aligns with the Ethereum Foundation's austerity, as core development continues despite declines in the ETH price.
Ethereum
According to a post on X, the funds come from his own holdings and will be distributed over several years, not spent instantly. This plan complements a period of "mild austerity" for the Ethereum Foundation while it continues its core roadmap.
The funding aims at advancing technologies that protect private life and public systems, including secure, open‑source hardware and software.
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Buterin described this as taking on responsibilities that might otherwise have been handled by the Ethereum Foundation.
The disbursement will unfold over the coming years. Buterin intends to utilize decentralized staking strategies to supplement the initiative, with further funding coming from staking rewards.
The Ethereum Foundation previously faced criticism for selling Ethereum to cover operating costs. Currently, the organization is considering alternative methods, such as DeFi lending and staking, to raise funds.
Although ETH dropped from approximately $3,900 in November 2025 to about $2,700 at the time of the announcement, Buterin emphasized that the decision to be cautious with spending is intentional.
He noted that development across the Ethereum roadmap continues to progress steadily.
Buterin urged the crypto industry to build decentralized stablecoins not tied to a single fiat currency, such as the US dollar. How? Read the full story.