Two Ethereum Foundation-linked wallets have reportedly transferred 4,393 ETH worth approximately $11.13 million to Kraken on October 12, according to blockchain analyst EmberCN. The addresses are connected to an Ethereum Foundation wallet that distributed 59,751 ETH approximately a decade ago when ETH traded near $0.90. On-chain data from Lookonchain shows the transfers were made by two wallets that received ETH from the Foundation distribution, with the largest deposit of approximately 2,998 ETH (around $7.6 million) and the second wallet accounting for roughly 1,395 ETH. However, neither the Ethereum Foundation nor Kraken has publicly confirmed that the latest deposit resulted in a sale, and the wallet history on Arkham Intelligence supports a more cautious reading - the coins are two steps removed from the Foundation, and an exchange deposit alone does not confirm a sale.
The Ethereum Foundation has established a formal treasury management policy allowing periodic ETH sales to maintain liquid assets for research, ecosystem grants and operations. The policy allows the foundation to evaluate annual spending requirements against available reserves and decide how much ETH may need to be converted into fiat-denominated assets. Under the framework, the foundation originally established an annual operating expenditure target equivalent to 15% of treasury assets and a reserve buffer covering 2.5 years of expenses. In April 2026, the foundation announced plans to sell 5,000 ETH through CoWSwap using a time-weighted average price strategy, followed by additional sales totaling 25,000 ETH to institutional buyers. The Arkham data shows the Ethereum Foundation sent 59,751 ETH to an intermediary address about a decade ago, when ETH was worth about $2.13, and that address later split the coins into three parcels of roughly 18,000 ETH each and sent them to separate wallets.
Payward, the parent company of Kraken, has achieved a historic milestone by becoming the first cryptocurrency company to acquire a European bank. The company agreed to acquire Lithuania-based Saldo Bank for an undisclosed amount, securing a European Union banking license that will allow it to offer European customers interest-bearing deposits, loans, card services and euro payments. According to the Financial Times, the acquisition makes Payward the first crypto firm to buy a bank in Europe as crypto firms increasingly compete with traditional lenders. Saldo Bank held 163.9 million euros ($180 million) in total assets at the end of 2025, representing a 22.7% increase from the previous year, as reported by The Banks. The deal remains subject to regulatory approval and is expected to close in 2027, with Payward's banking business having already originated more than $2 billion in loans.
Ethereum was trading near $2,563 on October 12, according to latest market data, gaining approximately 2.05% over the preceding 24 hours while remaining down 6.85% during the previous seven days. The cryptocurrency's trading volume stood near $8.88 billion with a reported market capitalization of approximately $312 billion. Technical indicators showed ETH trading below its nine-day moving average of $2,585.41, with the relative strength index at 47.59 below its moving average of 53.39, indicating weaker recent momentum. Market analysts identify $2,500 as the key pivot and $2,600 as the near-term resistance to clear, with ETH currently near the top of its reported $2,510–$2,570 24-hour range. The scenario map suggests that if ETH holds above $2,500 and pushes through $2,600, short-term momentum could improve and invite a test of higher levels, while a decisive loss of $2,500 would weaken the structure and increase downside risk.
Alongside asset sales, the Ethereum Foundation has expanded its treasury management through staking initiatives. In February 2026, the organization announced a program involving approximately 70,000 ETH, with staking rewards directed back into its treasury. The foundation completed its approximately 70,000 ETH staking target after depositing a further 45,000 ETH during one session, valued at approximately $143 million at the time. The foundation has also withdrawn staked ETH through Lido, with blockchain tracking identifying an unstaking request involving approximately 17,035 ETH in late April, demonstrating its diversified approach to treasury management across multiple strategies. This is also not the first time the main wallet has used Kraken - roughly five years ago it sent about 4,000 ETH to Kraken deposit addresses in batches of 1,000 and 2,000 ETH.
Broader market conditions remain unsettled with crypto liquidations reaching approximately $101.9 million on October 11, while traders face multiple catalysts including U.S. inflation data, ETF-flow updates, and options expiry this week. Ethereum's average base fee was reported at 0.0673 gwei over 24 hours, versus a weekly average of 0.4210 gwei, while supply increased by about 2,960.61 ETH. Lower fees reduce the near-term contribution from fee burning, which is relevant to valuation considerations. For traders, the practical approach involves watching $2,500 for support and $2,600 for confirmation, while tracking exchange balances and ETF flows, as a deposit is a signal to monitor rather than a trade trigger by itself. The foundation's transfer adds uncertainty rather than confirming a supply shock, with the immediate question being whether buyers can defend support and reclaim resistance levels.
