Bankless Co-Founder Shares His Reasons for Selling All His Ether
David Hoffman, co‑founder of Bankless, sold his ETH after deciding the “ETH is money” thesis has largely played out. He remains very bullish on Ethereum as a network but sees no clear path for the ETH token to gain a structural rerating. Hoffman's decision reflects a personal capital‑allocation call after years of building his career around Ethereum. The thesis required simultaneous success in governance, technology, L2 incentives and market dominance, a narrow coordination challenge. Ethereum chose programmability and broad utility over a stripped‑down monetary focus, making ETH’s value dependent on multiple layers aligning. Although the network has advanced, it has not achieved the maximal version of the original monetary expectation. Ethereum’s design now channels most margin to rollups and applications, leaving ETH with limited direct revenue capture. Rollups obtain up to 97 % of user‑facing margins while Ethereum provides cheap, secure settlement. This “giver” model supports the ecosystem but weakens ETH as an asset. The rise of stablecoins on Ethereum has expanded tokenised dollars rather than ETH’s monetary role. The brief COVID‑era boom that boosted ETH as internet money has faded, reducing its store‑of‑value appeal. Hoffman stays confident in Ethereum’s tech future but treats ETH as a mature, non‑rising investment.























