New York, Wednesday, July 31, 2024 – Asset manager Bitwise announced July 23 plans to donate a portion of its Ethereum exchange-traded fund (ETF) profits to support the network’s development.
The said it would contribute 10% of earnings from the Bitwise Ethereum ETF (ETHW) to the Protocol Guild and PBS Foundation, two organizations dedicated to advancing the Ethereum ecosystem.
The move comes as Bitwise’s ETHW begins trading on the New York Stock Exchange. The company believes that by supporting the developers who power Ethereum, it can help ensure the long-term success of the network and, consequently, its ETF.
“Ethereum’s open-source nature relies on a dedicated community of developers,” said Bitwise Chief Technology Officer Hong Kim.
“This donation program is a way to give back to those who have contributed to Ethereum’s growth and to foster continued innovation.”
Reports said Bitwise’s decision to share profits with the Ethereum community highlights the increasing interdependence between asset managers and the underlying blockchain networks.
As more traditional financial institutions enter the cryptocurrency space, initiatives like this could become a standard practice.
