Interesting move by the Ethereum Foundation, which has just completed its staking plan with an additional $93 million worth of ether. They basically reached the target of 70,000 ETH they set in February, bringing the total staked to about $143 million.

What stands out is the change in strategy. Instead of continuing to regularly sell ether to cover their annual operating costs of around $100 million, they now generate income directly from staking. The numbers estimate an annual profit between $3.9 million and $5.4 million, considering an APY between 2.7% and 3.8%, typical for institutional stakers.

How does it work technically? The foundation transferred everything in uniform tranches of about 2,047 ETH each from their multisig treasury to the Beacon Chain deposit contract. Each batch was worth around $4.23 million at the time of deposit. They proceeded incrementally from February, starting with 2,016 ETH, adding about 20,470 ETH on Monday, and completing the rest on Thursday.

But here’s the point many overlook: the foundation still holds over 100,000 ETH unbonded. They have not yet announced whether they will continue to expand the staking program beyond this initial commitment or keep the rest as liquid reserves. Considering that ether is currently trading at higher levels than at the time of deposits, this decision will have interesting implications.

This shift in approach is significant because it addresses a problem the foundation has carried: criticism over regular ether sales that have recently weighed on valuations. With staking, they turn an inactive treasury into a productive one without having to touch their ether holdings.

It’s an interesting model for long-term sustainability, even if the yields are modest compared to total expenses. Still, generating passive income from your main asset is always better than having to sell it continuously. The market is reacting positively to these signals of institutional stability, and it’s worth watching how this strategy evolves in the coming months.