Ethereum

Swap

DeFi

would

The Ethereum Foundation (EF) announced plans to convert 1,000 Ether (<a href="/ethereum-price" rel="noopener noreferrer">ETH</a>) into stablecoins to finance research, grants and donations, aligning with its broader treasury strategy and involvement in funding decentralized finance (DeFi) initiatives.&nbsp;
The sale, worth approximately $4.5 million at current prices, was executed via CoW Swap, a decentralized trading protocol that aggregates liquidity across multiple exchanges to offer users competitive prices without relying on a centralized intermediary.
Neither the foundation’s announcement nor its treasury policy specified which stablecoins it would receive in exchange for the ETH.
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 <img src="https://s3.cointelegraph.com/uploads/2025-10/0199ab71-c9d2-7930-be3d-a59a4253c00b" title="" alt="Ethereum Foundation converts 1,000 ETH for stablecoins to fund R&amp;D, grants">
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 Source: <a href="https://x.com/ethereumfndn/status/1974167628995592319" rel="noopener noreferrer nofollow" target="https://x.com/ethereumfndn/status/1974167628995592319">Ethereum Foundation</a>
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This latest conversion follows EF’s <a href="https://cointelegraph.com/news/ethereum-foundation-sale-research-grants-donations" rel="noopener noreferrer nofollow">earlier disclosure in September</a> that it planned to convert 10,000 ETH into stablecoins over several weeks. However, Friday’s transaction appears to be separate from that initiative, given its smaller scale and use of CoW Swap rather than a centralized exchange.
According to the Ethereum Foundation Treasury Policy, EF <a href="https://blog.ethereum.org/2025/06/04/ef-treasury-policy" rel="noopener noreferrer nofollow" target="_blank">seeks</a> to “balance between seeking returns above a benchmark rate and extending EF’s role as a steward of the Ethereum ecosystem, with a particular focus on DeFi.”
The increased use of stablecoins also comes as <a href="https://cointelegraph.com/news/ethereum-foundation-pauses-open-grants-strategic-funding-shift" rel="noopener noreferrer nofollow">EF temporarily paused open grant submissions</a> to its Ecosystem Support Program, citing an influx of applications. The foundation said it will instead prioritize funding for the network’s most pressing needs.
In April, EF also announced <a href="https://cointelegraph.com/news/ethereum-foundation-shuffles-leadership-with-board-and-management-split" rel="noopener noreferrer nofollow">a leadership restructuring</a> to improve strategic and operational management. The foundation appointed Hsiao-Wei Wang and Tomasz K. Stańczak as co-executive directors, both of whom previously held roles within EF. In June, <a href="https://cointelegraph.com/news/ethereum-foundation-lays-off-staff-rebrands-core-team" rel="noopener noreferrer nofollow">the foundation laid off staff</a> and restructured its core development team.
Related: <a href="https://cointelegraph.com/news/vitalik-an-ethereum-story-less-crypto-more-human" rel="noopener noreferrer nofollow">‘Vitalik: An Ethereum Story’ is less about crypto and more about being human</a>
<h2 id="vitalik-buterin-doubles-down-on-defi">Vitalik Buterin doubles down on DeFi</h2>
Since its launch, Ethereum has remained the leading platform for DeFi applications. Despite growing competition from other blockchain networks, Ethereum still accounts for roughly 68% of total value locked (TVL) across DeFi platforms, according to industry data.
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 <img src="https://s3.cointelegraph.com/uploads/2025-10/0199ab71-cf02-72a8-892b-019fcffbbc41" title="" alt="Ethereum Foundation converts 1,000 ETH for stablecoins to fund R&amp;D, grants">
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 While Ethereum’s dominance in DeFi has declined since 2021, it remains the leading platform in the sector. Source: <a href="https://defillama.com/chains" rel="noopener noreferrer nofollow" target="https://defillama.com/chains">DefiLlama</a>
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<a href="https://cointelegraph.com/news/low-risk-defi-could-drive-ethereum-fees-while-keeping-values-intact" rel="noopener noreferrer nofollow">Ethereum co-founder Vitalik Buterin recently reiterated</a> the network’s focus on decentralized finance, arguing that “low-risk” DeFi applications could help create more sustainable revenue for the ecosystem, similar to how Google Search underpins Google’s business model.
“Low-risk DeFi can play a similar role for Ethereum,” Buterin <a href="https://vitalik.eth.limo/general/2025/09/21/low_risk_defi.html" rel="noopener noreferrer nofollow" target="_blank">wrote</a>, pointing to “the basic functions of payments and savings, and well-understood tools like synthetic assets and fully collateralized lending.”
Magazine: <a href="https://cointelegraph.com/magazine/ethereum-founder-eth-move-crypto-index-hashdex-etf-xrp-solana-hodlers-digest/" rel="noopener noreferrer nofollow">ETH co-founder moves $6M of ETH, crypto index ETF expands: Hodler’s Digest, Sept. 21 – 27</a>

Ethereum Foundation converts 1,000 ETH for stablecoins to fund R&D, grants

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