Ethereum insiders reduce ETH holdings amid value concerns

Key Ethereum figures, including David Hoffman, have sold or reduced ETH holdings, citing limited upside for the token despite optimism for the network's growth.

Several prominent figures in the Ethereum community, including former core developer Eric Connor and Bankless co-founder David Hoffman, have recently disclosed significant reductions or complete liquidation of their ETH holdings. Eric Connor revealed he reduced his ETH position over the past one to two years, citing underperformance compared to other crypto assets and ongoing profit-taking by early investors as reasons for ETH's price stagnation. David Hoffman, while remaining optimistic about Ethereum’s network and ecosystem, no longer believes the “ETH is money” thesis will drive significant price appreciation. He argued that Ethereum’s design increasingly channels value to applications, rollups, and stablecoins rather than directly to ETH holders, resulting in a disconnect between network growth and the token’s value. Hoffman described his decision as a capital allocation move, emphasizing that Ethereum’s success as infrastructure may not necessarily translate into higher ETH prices, as much of the value is captured by the broader ecosystem.