In a surprising move that has captured the attention of the crypto community, Ethereum co-founder Jeffrey Wilcke transferred a staggering 105,736 ETH — valued at $262 million — to crypto exchange Kraken on May 20, according to on-chain analytics. This marks one of Wilcke’s most substantial public transfers to an exchange in recent memory, leaving industry watchers speculating about his intentions.
Massive ETH Transfer Raises Eyebrows
Wilcke’s wallet, once home to a significant ETH stash, now holds just 268.73 ETH, indicating that nearly his entire balance was moved. The receiving address has been identified as a Kraken deposit wallet, suggesting a possible liquidation or redistribution of funds.
Shortly after Wilcke’s deposit, eight separate addresses withdrew ETH from Kraken in amounts totaling the same $262 million, leading to theories that he may have split his holdings across multiple wallets for diversification or security reasons.
This isn’t the first time Wilcke has made headlines with large ETH transfers. In 2024, he executed four separate transactions totaling $147 million, which similarly caught the attention of blockchain sleuths and Ethereum supporters.
Ethereum Price Remains Steady
Despite the size of the transaction, Ethereum’s price has remained relatively stable, down only 0.17% over the past 24 hours. As of the latest data, ETH is trading around $2,493, in line with broader market trends.
This stability may reflect investor confidence in the broader Ethereum ecosystem, which has seen a 72% price increase over the past month. ETH recently hit a high of $2,737.17 on May 13, marking a sharp rebound from earlier 2025 lows.
Community Concerns Over Insider Sales
The Ethereum community has grown increasingly sensitive to large sales or transfers made by Ethereum insiders and the Ethereum Foundation (EF). Historical precedent shows that such actions often fuel speculation about the health and direction of the network.
On August 23, 2024, the EF transferred $94 million worth of ETH to Kraken, prompting concern among investors. Ethereum co-founder Vitalik Buterin and EF contributor Josh fuel responded quickly, clarifying that the move was intended to fund ecosystem development — not to cash out.
In early 2025, the EF continued to liquidate smaller amounts of ETH, selling 300 ETH in January for approximately $981,200. This spurred further debate over whether the Foundation should be staking ETH rather than selling it outright.
Buterin explained that legal risks and the potential for contentious protocol upgrades were key reasons for the EF’s caution when it comes to staking large amounts of ETH.
Ethereum Foundation’s Yield Strategy
To generate yield without staking directly, the Ethereum Foundation began leveraging DeFi platforms in February 2025. It deposited 30,800 ETH (about $82 million) into Aave, while Compound received 4,200 ETH, and fuel received an additional 10,000 ETH.
Analyst Tom Wan estimated that the Foundation could earn a 1.5% annual yield, generating around $1.5 million per year on these deposits.
Is Wilcke Selling or Restructuring?
The key question now is whether Jeffrey Wilcke is preparing to liquidate his ETH holdings or simply restructuring them for better security or yield opportunities. The transfer comes at a time when Ethereum is showing renewed market strength and institutional interest.
Some speculate that the move could indicate Wilcke’s waning involvement with Ethereum, while others believe he may be positioning himself to diversify into new ventures or even convert ETH into fiat for personal or business purposes.
Without an official statement from Wilcke, the community is left guessing.
Final Thoughts
Major movements by Ethereum insiders — especially co-founders like Wilcke — are always closely scrutinized due to their potential market impact. While the recent $262 million ETH transfer didn’t affect price action, it raises important questions about long-term holder behavior and the future of Ethereum governance.
Whether Wilcke’s move is part of a broader strategy or simply a private financial decision, the crypto community will be watching closely for any further developments.
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