The significant development in the crypto industry has revitalized the growth of the Ethereum ecosystem. The rich ecosystem has inspired the developers to build cutting-edge tools and establish best practices that will fuel the high adoption of the Ethereum network.
In an X post (formerly Twitter), VanEck, a renowned asset manager, vowed to support the Ethereum developers to stimulate the ecosystem’s growth. The VanEck team plans to donate around 10% of the revenue from its Ether futures exchange-traded fund (ETF) to the developers in the next decade.
VanECK Donates 10% to Developers
The expected donation will be channeled to “The Protocol Guild,” a group comprising 150 core developers in the Ethereum network. In the post, the VanEck team praised The Protocol Guild for its commendable efforts to foster the Ethereum network’s growth.
From the noticeable achievement, the asset manager saw the need to allocate a portion of its profits to the Ethereum community to redefining the crypto landscape.
The VanEck team argued that if the Ethereum core developers could enhance the attractiveness of the traditional finance (TradFi) sector, they would receive substantial rewards in return. The asset manager recognized the remarkable efforts made by the Ethereum team in the crypto sector.
In the report, the VanEck team requested key players in the financial sector, including the asset managers and EFT service providers, to develop a method to reward the developers for their exemplary work.
Changes in Ethereum Ecosystem
In September, the asset manager revealed plans to launch an ETF contract. VanEck mandated Greg Krenzer to manage the ETF.
The asset manager anticipates the ETF to be listed on the Board Options Exchange soon. With the exciting growth of crypto sectors, traditional finance firms seek to expand their offering to the future. VanEck, Bitwise, Valkyrie, ARK, and Invesco Galaxy have submitted their applications for the ETF to the US Securities and Exchange Commission (SEC).
Interestingly, VanEck joins other crypto firms committed to nurturing the Ethereum ecosystem. The report indicates that Lido Finance, Arbitrum, Optimism, ENS Domains, Nouns DAO, and Uniswap have greatly improved the Ethereum ecosystem by financing its core contributors.
A review of the donations sent to the Ethereum developers demonstrated that The Protocol Guild received around 4846 donations totaling $12 million. The donation received is later distributed among the over 150 developers at a weighted ratio.
Reportedly, the donation has motivated developers to create unique software and applications suitable for the Ethereum ecosystem. In the meantime, the developers are working on Ethereum Improvement Proposal EIP-4844(Proto-Danksharding), seeking to reduce the cost of the rollups.
The Proto Danksharding upgrades aims at improving scalability, efficiency and speed of the Ethereum network.
Editorial credit: Burdun Iliya / Shutterstock.com