Cosmos Developer Interchain Foundation's Significant ETH Sale Raises Eyebrows

According to on-chain analyst Ember, Cosmos developer Interchain Foundation just made a move, selling 4,000 ETH worth around $9.5 million.

Cosmos Developer Interchain Foundation Sold 4,000 ETH, Total Sales Hit 15,100 ETH in 5 Months

Cosmos (ATOM) developer Interchain Foundation just made another move, selling 4,000 ETH, currently worth around $9.5 million, according to on-chain analyst Ember.

The sale happened about 27 hours ago and is part of a broader trend over the last five months. Since the end of April this year, the foundation has sold 15,100 ETH, currently valued at around $37.09 million.

The ETH in question was raised in April 2017 through Cosmos’ Initial Coin Offering (ICO). At the time, the Interchain Foundation raised roughly $17 million in funding, comprising 4,882.7 BTC and 246,891 ETH. This ICO was pivotal in fundraising for Cosmos, a blockchain platform mainly concerned with interoperability between chains.

The developers’ selling a large amount of ETH raised curiosity and mixed feelings among the crypto community, particularly among Cosmos investors and enthusiasts. While there’s nothing out of the ordinary about project foundations liquidating assets over time, the high volume of ETH sold raises one’s curiosity about future plans from the Interchain Foundation and the Cosmos ecosystem in general.

Moreover, the foundation has been selling ETH at regular intervals, with smaller amounts being sold off more frequently. However, there were also times when the foundation sold off a large amount of ETH in one go.

Back in May, the Interchain Foundation sold 2,000 ETH over two transactions, and earlier this month, the foundation also sold 3,500 ETH in two transactions.

Overall, the foundation has been slowly reducing its ETH holdings, and it will be interesting to see how this affects the price of ATOM in the long run.

As reported by crypto.news earlier this month, Cosmos Hub V19 is now live on the mainnet following a successful launch. The upgrade brings several improvements to the network, including faster finality for interchain security (ICS) applications and the addition of support for the Inter-Blockchain Communication (IBC) protocol.

With V19, the network now has a reduced block interval, down from 7 seconds to 5 seconds, which should notably improve the throughput for ICS applications. Moreover, the upgrade also adds support for the latest IBC protocol version, 0.4.0.