On September 29, global asset management firm VanEck announced via X (formerly Twitter) that it intends to allocate 10% of the profits generated by its upcoming Ethereum futures exchange-traded fund (ETF) to Ethereum core developers over the course of a decade.
The recipient of these funds will be the Protocol Guild, a collective of over 150 developers responsible for maintaining the core technology of the Ethereum network. VanEck expressed its belief in the importance of asset managers contributing to the communities responsible for building cryptocurrency protocols, emphasizing that it's a way for traditional finance (TradFi) to give back to those who contribute to the ecosystem.
VanEck's decision to support Ethereum core developers echoes similar moves by crypto-native entities that are actively involved in backing the Ethereum network, such as Lido Finance, Uniswap, Arbitrum, Optimism, ENS Domains, MolochDAO, and Nouns DAO.
A public dashboard tracking donations to the Guild's mainnet shows that numerous contributions, totaling over $12 million, have been made. These funds are distributed among members based on their contribution periods. The Ethereum core developers are actively working on Ethereum Improvement Proposal EIP-4844, which aims to introduce a new transaction type to the network, potentially reducing transaction fees on the Layer 2 protocol.
VanEck recently revealed its Ethereum Strategy ETF, which will focus on investing in Ethereum futures contracts. The fund will be actively managed by Greg Krenzer, VanEck's Head of Active Trading, and is expected to be listed on the Chicago Board Options Exchange in the near future. Additionally, other traditional investment firms, including Valkyrie and Bitwise, are also gearing up to offer Ethereum futures exposure. Meanwhile, spot Ethereum ETFs, such as those from Invesco Galaxy, ARK 21Shares, and VanEck, are awaiting regulatory approval, with the U.S. Securities and Exchange Commission (SEC) delaying its decision on approving spot ether products until December.
