- A group of DeFi projects, along with Kraken, unites to support several ETH2 teams.
- Each of the groups donated $250K to the Ethereum Foundation.
- This venture shows the teams’ effort to secure Ethereum’s long-term growth.
On Aug 24, 2021, Ethereum Foundation announced that five DeFi projects and the renowned U.S crypto exchange, Kraken have all donated $250K each for the Ethereum execution layer teams. They also named the aforementioned group of DeFi projects: Compound Grants, The Graph, Uniswap Grants, and Lido.
1/ A diverse execution-layer client ecosystem is at the heart of all that we’re building together.
— Ethereum (@ethereum) August 24, 2021
With a total of $1.5 million, these funds will raise the funding of the open-source developer teams, which include Nethermind, Nimbus, Geth, Erigon, and Besu. These Ethereum executive teams will play a vital role in the “critical infrastructure for the network”. It is noted that Ethereum has plans for merging ETH 1.0 and ETH 2.0. This merge, moreover, will make ETH’s transition to proof-at-stake mechanism from proof of work, possible.
According to the announcement,
Ethereum’s diverse client ecosystem is at the foundation of all that we’re building together. This includes both execution-layer and consensus-layer clients, both of which are essential parts of Ethereum’s post-merge future
Additionally, the announcement stated that this project aims to show its efforts in enhancing the long-term growth, health, and decentralization of Ethereum. More so, it also mentioned that these elements heighten their confidence for continuous success.
Furthermore, Kraken CEO and co-founder Jesse Powell mentioned that the firm is honoured to be
Giving back to the courageous builders who are hard at work on the front lines of crypto innovation.
In fact, earlier this month, Ethereum launched the EIP (Ethereum Improvement Proposal) 1559. This upgrade has a burning mechanism with an adjusted gas fee structure. This proves how they work hard to improve their tools which benefits their consumers overall.