Ethereum Foundation Deploys 2,016 ETH As It Begins Large-Scale Treasury Staking

By staking ETH from the treasury, the Ethereum Foundation now directly participates in the consensus while generating native ether-denominated yield.

The Ethereum Foundation announced that it has begun staking a portion of its treasury funds, following the Treasury Policy it published last year.

The latest move represents a formal step toward direct participation in Ethereum’s proof-of-stake consensus.

Treasury Participation

As part of this initiative, the Foundation deposited 2,016 ETH on Tuesday and stated that he plans to stake approximately 70,000 ETH in total, with all staking rewards going to the Foundation treasury. The staking setup is based entirely on open source infrastructure, and the Foundation chose Dirk as a distributed signing solution and Vouch to manage validation operations across multiple Beacon and Execution Client pairs.

According to the announcement, Dirk spreads signing responsibilities across multiple geographic regions to eliminate single points of failure, while Vouch enables configurable strategies designed to mitigate client diversity risks. The overall setup uses a mix of minority customers along with hosted infrastructure and self-managed hardware deployed across multiple jurisdictions.

The Foundation also confirmed that its validators are using Type 2 (0x02) withdrawal credentials, which allow validator balances to be transferred through consolidations, reduce the number of signing keys required by supporting a higher maximum effective balance per validator, and allow flexible exits that can be triggered by the withdrawal address even if validators are offline.

This approach simplifies key management and allows for faster escrow changes to signing keys, according to the Swiss nonprofit.

In terms of block production, the setup is being built locally rather than relying on separation sidecars between proponent and builder. The Foundation stated that by solo staking your own ETH, you will generate a native return denominated in ETH using the mechanics of the Ethereum protocol.

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Master short-term weakness

Price-wise, ETH traded sharply lower over the past 24 hours, extending its short-term bearish trend as sellers remained in control throughout the session. The price fell from around $1,920 during early Asian trading hours on Tuesday to around $1,820 as brief attempts at stabilization failed to gain traction. While the short-term price action remains under pressure, some analysts believe the broader setup looks more constructive on a longer time horizon.

Analyst Merlijn The Trader said ETH is in a five-year demand zone that has historically favored accumulation, not distribution. He noted that prices have returned to levels seen during previous phases of the bear market and that momentum may be quietly building despite the slow pace.