Bankless Cofounder Sells All ETH, Still Bullish on Ethereum

David Hoffman, co-founder of Bankless, sold his entire Ethereum (ETH) holdings in late May 2026. He posted that he remains bullish on the Ethereum network but does not expect ETH’s price to rise in step with the network’s growth.

Hoffman wrote, “The ETH is Money thesis didn’t fail… it played out,” and added that he is “massively bullish Ethereum.” He argued only a “marginal amount” of the network’s future success may be reflected in ETH’s market price and described Ethereum as “a giver, not a taker.”

Hoffman’s reasoning centers on how economic value is distributed across the Ethereum stack. He said rollups, tokenized assets and decentralized applications are likely to capture much of the fee revenue and yield that used to sit more directly on the base chain. He described the protocol as providing secure blockspace and infrastructure while passing a large portion of economic upside to layers built on top.

He framed the sale as a capital allocation choice rather than a negative view of the protocol. Hoffman wrote he does not expect ETH to be “structurally rerated” higher or lower and plans to redeploy capital to other opportunities.

The sale came as ETH traded near a support band around $2,050 to $2,100 after failing to sustain levels above roughly $2,300. Inflows to Ethereum exchange-traded products and broader institutional demand have been uneven, leaving market momentum mixed.

Responses among community members were split. Some agreed with Hoffman’s framing that network growth may not translate directly into higher ETH prices. Others criticized the argument as theoretical and pointed to macro and market factors that affect asset prices.

Hoffman has been active in the Ethereum ecosystem since about 2016. Bankless helped promote ETH as a form of internet money, and his exit adds a high-profile data point to ongoing discussions about where fee revenue and other economic benefits will settle as Layer 2 solutions scale.