Global asset manager VanEck has pledged to donate 10% of profits generated from its upcoming Ether futures exchange-traded fund (ETF) to Ethereum core developers over a span of 10 years.
The announcement was made via the company’s X (formerly Twitter) account on September 29.
The recipient of these donations will be the Protocol Guild, a collective of more than 150 developers responsible for maintaining Ethereum’s core technology.
VanEck emphasized the importance of asset managers giving back to the community that underpins the crypto protocol, stating:
“As traditional finance (TradFi) stands to benefit from the contributions of Ethereum’s core developers, it is only right that we contribute to their ongoing efforts.
We encourage other asset managers and ETF issuers to consider adopting a similar approach.”
This commitment by VanEck aligns them with other crypto-native entities that actively support the Ethereum network, such as Lido Finance, Uniswap, Arbitrum, Optimism, ENS Domains, MolochDAO, and Nouns DAO.
The donations made to the Protocol Guild are tracked through a public dashboard, revealing that 4,846 contributions have amassed over $12 million.
These funds are then distributed among guild members based on a weighted ratio that takes into account their contribution periods.
Ethereum’s core developers are currently focused on Ethereum Improvement Proposal EIP-4844 (Proto-Danksharding), an upgrade that will introduce a novel transaction type to the Ethereum ecosystem.
This development aims to reduce transaction fees for layer-2 protocols, further enhancing the network’s efficiency.
VanEck recently disclosed its plans for an Ethereum Strategy ETF on September 28.
This ETF will invest in Ether futures contracts and will be actively managed by Greg Krenzer, the head of active trading at VanEck.
It is anticipated to be listed on the Chicago Board Options Exchange in the near future.
In addition to VanEck, other traditional investment firms like Valkyrie and Bitwise are gearing up to offer exposure to Ether futures.
Furthermore, there is a growing lineup of firms waiting for regulatory approval to launch a spot Ether ETF, including Invesco Galaxy, ARK 21Shares, and VanEck.
The United States Securities and Exchange Commission (SEC) recently postponed its decision on approving a spot Ether product until December, highlighting the continued interest and potential growth in the crypto investment space.
Other Stories:
New U.S. Bill Proposes Enhanced Oversight for Cryptocurrency Transactions
NFT Artist Raises £114,000 at Edinburgh Charity Event to Support Cancer Treatment
French Authorities Conduct Surprise Raid on Nvidia’s Offices Amid Antitrust Inquiry
