Kraken And Five DeFi Projects Supporting Eth2 Client Teams

The DeFi project group and Kraken, the American crypto exchange donated $250,000 each to the Ethereum Foundation. They want to support all the client groups that are working on the Ethereum (ETH) 2.0 upgrade. On the 24th of August, the Ethereum Foundation announced that these generous donations were made by Kraken, The Graph, Synthetix, Compound Grants, Lido, and Uniswap Grants. These funds will be added to the number of funds that were previously provided by the foundation this year. All these funds were given to support Ethereum’s execution layer teams.

The announcement said:

“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.”

These donations now total to a big amount of $1.5 million. So, they will go to open-source developer teams. These teams include Besu, Erigon, Geth, Nimbus, and Nethermind. Besides, these teams will provide a “critical infrastructure for the network” after ETH 1.0 and ETH 2.0 will be merged. This merger will see the transition of ETH from proof of work to a proof of stake mechanism.

Kraken’s Jesse Powell Says

The CEO and co-founder of Kraken, Jesse Powell, said the company is proud to be “giving back to the courageous builders who are hard at work on the front lines of crypto innovation”. Moreover, by July, the users of the exchange staked 800,000 ETH on Eth2 that was worth $ 2.5 billion at the current prices according to Kraken. At that time, the platform announced that it had distributed 25,300 ETH in rewards earned from customer participation.

Furthermore, the announcement read:

“This project represents an effort to secure Ethereum’s long-term growth, health, and decentralization. Each of these elements can be exemplified by client diversity, the strength of the teams themselves, and our confidence that Ethereum will continue to succeed as they succeed.”

Also, at the beginning of this month, the Ethereum Improvement Proposal (EIP) 1559 update was launched. It introduced a burning mechanism as part of its regulated gas fee structure. The data from Etherscan shows that there is 4.85 ETH worth about $ 15,300 is burned every minute at the time of writing.