Ethereum Foundation Sells 10,000 ETH for $25.7 Million to SharpLink Gaming

The Ethereum Foundation has completed a significant over-the-counter (OTC) deal, selling 10,000 Ether (ETH) to SharpLink Gaming Inc. The transaction, finalized on July 10, 2025, was priced at an average of $2,572.37 per ETH, totaling approximately $25.7 million. This move marks one of the largest direct ETH purchases by a publicly traded company, signaling a strong conviction in the cryptocurrency's future.

The sale was not a speculative market trade but a pre-planned, routine action dictated by the Ethereum Foundation's public treasury management policy. This policy mandates ETH sales when the fiat portion of the Foundation's reserves drops below targets linked to annual operational expenses and runway duration. The proceeds from this sale will be used to bolster the Foundation's fiat reserves, ensuring financial stability and sustainability for its ongoing projects and initiatives.

SharpLink Gaming, the acquiring company, plans to use the purchased ETH for staking, a process that involves locking up the cryptocurrency to support the network's operations and earn rewards. This strategic move not only demonstrates SharpLink Gaming's confidence in Ethereum's technology and potential but also aligns with the broader trend of institutional adoption of cryptocurrencies.

The OTC deal structure allowed for a seamless transaction without immediate market slippage, which could have otherwise affected the price of ETH. This method is often preferred for large transactions to minimize market impact and ensure a stable execution price. The transaction was settled on-chain via the Foundation's multisig wallet, adding an extra layer of security and transparency to the process.

The Ethereum Foundation's decision to sell a portion of its ETH holdings is part of its broader strategy to manage its treasury effectively. By adhering to its treasury management policy, the Foundation ensures that it has sufficient fiat reserves to cover its operational expenses and maintain its long-term goals. This approach provides a clear framework for managing the Foundation's assets and ensures that its financial decisions are aligned with its mission and objectives.

The sale of 10,000 ETH to SharpLink Gaming is a notable event in the cryptocurrency landscape, highlighting the growing interest and investment from institutional players. As more companies and organizations recognize the potential of Ethereum and other cryptocurrencies, the market is likely to see increased adoption and integration of these digital assets into mainstream financial systems. This trend bodes well for the future of Ethereum and the broader cryptocurrency ecosystem, as it signals a shift towards greater acceptance and utilization of blockchain technology.

Joseph Lubin, Chairman of SharpLink, highlights Ethereum's new era of institutional growth. The transaction signals rising institutional interest in Ethereum, as evidenced by SharpLink’s increased holdings and the market's positive response. The purchase by SharpLink, the largest public company using ETH as a treasury asset, indicates continuing institutional adoption. Ethereum’s price surge after the sale further supports this trend and may benefit related Ethereum-based assets.

The transaction and subsequent market rally underscore Ethereum's position as a critical asset in the blockchain ecosystem. This may influence staking derivatives and other cryptocurrency infrastructure investments. Joseph Lubin commented, "At a time when Ethereum is entering a new era of institutional relevance, we are proud to support the network’s long-term strength and decentralization mission."

SharpLink's purchase elevates its reserves to over 202,000 ETH, highlighting growing confidence in Ethereum's long-term potential. The deal predates a 7.4% price increase in ETH. Experts predict that this sale could encourage similar strategies by other institutions, reinforcing Ethereum's market significance. Historical trends show Ethereum Foundation's market activity often correlates with price movements, affecting both short-term and long-term trends.