Ethereum Foundation Invests Millions in zkVM, but Why Is the Co-Founder Selling ETH?

Published by

Vignesh S G

November 29, 2024

The Ethereum Foundation (EF) is preparing to invest tens of millions of dollars into the development of zkVMs (Zero Knowledge Virtual Machines). This announcement, made by EF researcher Justin Drake, marks a major step in Ethereum’s growth. At the same time, Ethereum co-founder Jeffrey Wilcke recently moved over 20,000 ETH to Kraken, raising concerns in the cryptocurrency market.

With Ethereum’s market slipping by 0.7% in the last 24 hours, many are wondering if the decline will continue.

Let’s break down these key events to better understand what’s happening.

Ethereum Foundation Bets Big

In a post on X, Justin Drake shared that the Ethereum Foundation is set to invest tens of millions into zkVMs. The zkevm.org platform, focused on zkRISC-V formal verification, will be a key beneficiary. Additionally, Poseidon cryptanalysis and ethproofs.org will also receive funding. This investment will strengthen many areas of zkVMs, from formal verification to cryptographic analysis.

Wilcke’s ETH Transfer: What Does It Mean?

A separate development has caught the market’s attention: Ethereum co-founder Jeffrey Wilcke transferred at least 20,000 ETH to Kraken yesterday. In 2024, Wilcke has sold at least 44,300 ETH, with an average sale price of $3,342.

ETH Price Trends: $4K in Sight?

Ethereum’s market has seen strong growth since November 5, rising by 49.59%. From November 5 to 11, the market surged by 40.55%, before experiencing a correction of 9.31%. On November 27, Ethereum reached a monthly high of $3,654.03, driven by a strong 9.86% jump in a single day. However, in the last 24 hours, the market has slipped by about 0.7%.

Curious about where Ethereum’s price is headed next? Read our Ethereum price prediction to stay ahead of the market trends!

So, what’s next for Ethereum? Experts are still optimistic, with many predicting that Ethereum could reach $4,000 in this cycle.

Ethereum’s future seems as dynamic as ever, with innovation and market shifts keeping investors on their toes.

Vignesh S G

Vignesh is a young journalist with a decade of experience. A proud alumnus of IIJNM, Bengaluru, he spent six years as a Sub-Editor for a leading business magazine, published from Kerala. His interest in futuristic technologies took him to a US-based software company specialising in Web3, Blockchain and AI. This stint inspired him to view the future of journalism through the lens of next generation technologies. Now, he covers the crypto scene for Coinpedia, uncovering a vibrant new world where technology and journalism converge.