Kraken Announces $250,000 Donation for Ethereum Blockchain Upgrades

Divya  |  Aug 25, 2021

Cryptocurrency exchange Kraken announced on Tuesday that it will donate $250,000 to the Ethereum Foundation. The donation will fund open-source developer teams contributing to ongoing technical upgrades falling under the purview of Ethereum 2.0. 

Crypto Exchange Kraken Will Donate $250K to Advance Ethereum 2.0 Upgrades

According to a press release, Kraken’s grant will be awarded to developers working on clients that support Ethereum software, including Besu, Erigon, Geth, Nethermind, and Nimbu. 

The monetary initiative comes close on the heels of the London hard fork upgrade, which was deployed to Ethereum on August 5. London consisted of five highly anticipated Ethereum Improvement Proposals (EIPs) -- EIP 1559 being the most significant of them -- aimed at making the network more scalable and sustainable.

Highlighting the importance of supporting open-source development, Kraken CEO and co-founder Jesse Powell said:

“We believe it’s our responsibility to give back to the open-source innovators who are building the next generation of cryptocurrency. That’s why we’re excited to work with the Ethereum Foundation to ensure developers receive funding from an increasingly diverse range of stakeholders.

To date, Kraken’s customers have staked over 800,000 ETH, worth more than $2 billion, to secure the beacon chain, which is the proof-of-stake version of Ethereum blockchain.

Other Firms Contributing to Ethereum and Kraken’s Past Efforts 

Notably, Kraken isn’t the only crypto business pumping funds into the Ethereum foundation. Compound Grants, Lido, Synthetix, The Graph Foundation, and Uniswap Grants have also committed money to the network. Collectively, their donations -- including Kraken’s share -- amount to $1.5 million.

"This joint effort to support teams and builders that maintain a diverse set of Ethereum clients is not only impactful but sets a great example," Ethereum Foundation Executive Director Aya Miyaguchi said in the press statement.

While Kraken’s latest endeavor is making headlines, the company is no stranger to shelling money for the promotion and development of cryptocurrencies. The global crypto exchange has previously allotted grants to Gitcoin, Brink, BTCPay Server, and the University of Wyoming.

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