Former Ethereum Foundation contributor Trent VanEpps warned Thursday that the network’s core development ecosystem could run into a "slow-burning" funding crisis within the next three to nine months as the EF scales back spending and a major client funding program expires.
VanEpps, who coordinated core development at the EF from May 2021 until April 2026, said in an X post that the expiration of the Client Incentive Program in April 2026 and the foundation’s ongoing treasury reductions risk undermining the institutional capacity built across Ethereum's core development ecosystem over the past decade.
The CIP, a four-year program that funded client teams through staking-based rewards, ended in April and "no replacement appears to be forthcoming," VanEpps said.
According to VanEpps, Ethereum’s core development ecosystem requires roughly $30 million in annual funding to maintain the secure delivery of features and maintenance across more than 10 client teams, research groups, and coordination teams.
VanEpps cautioned that without consistent funding, the network risks losing contributors with critical institutional context built up over years, and falling behind on long-term challenges, including quantum computing and scaling. He said contributor availability cannot be assumed once funding conditions improve.
“I believe we are underweighting the risk of this underinvestment in continuity,” VanEpps wrote in the post, adding that, “When we register the resulting symptoms in 12-18 months, the damage will be much harder and more costly to reverse.”
Questions over stewardship emerge
VanEpps also revisited the Ethereum Foundation's long-standing philosophy of "subtraction," a policy intended to reduce the organization's influence over time.
He said the approach succeeded in communicating that the foundation was not intended to become Ethereum's sole center of power. Still, he argued it has been less effective in defining which responsibilities should move elsewhere, leaving gaps that the broader ecosystem has struggled to fill.
VanEpps also raised succession planning, arguing that the Ethereum Foundation was never intended to serve as the network's permanent steward and that new institutions and funding mechanisms will eventually be needed.
He cited recent comments from Ethereum co-founder Vitalik Buterin that the foundation completed the work outlined in Ethereum's original pre-launch documents in 2022 and "was not designed to be an eternal steward."
He called for new institutions and funding mechanisms to take over stewardship of Ethereum’s shared resources, including software, the network, and the ETH asset, and said scalable, accountable, and neutral funding models must be established to avoid an unfunded mandate.
Departures
The discussion came the same day Ethereum Foundation co-executive director and board member Hsiao-Wei Wang announced her departure following a sabbatical. Wang, who joined the foundation in 2017 and became co-executive director in March 2025, said she was stepping down effective immediately after serving through what Buterin described as one of the most challenging periods for the organization.
The departure followed another wave of personnel changes. In May, researchers Carl Beek and Julian Ma announced they were leaving the foundation, adding to a list of recent exits that includes former co-executive director Tomasz Stańczak, Josh Stark, and Protocol cluster leaders Barnabé Monnot and Tim Beiko, while Alex Stokes entered a sabbatical.
Amid the departures, Buterin said in May that the Ethereum Foundation would become "a smaller ship than in previous years" and would prioritize longevity over breadth while narrowing its focus to censorship resistance, open source development, privacy, and security.
Ether traded near $1,688 on Friday, down 3.1% over the past 24 hours, according to The Block's ETH price page. The cryptocurrency remains about 65.7% below its record high of $4,946 reached in August last year.
Ethereum could face core development ‘funding crisis’ within nine months, says former EF contributor Former Ethereum Foundation contributor Trent VanEpps warned Thursday that the network’s core development ecosystem could run into a “slow-burning” funding crisis within the next three to nine months as the EF scales back spending and a major client funding program expires. VanEpps, who coordinated core development at the EF from May 2021 until April 2026, said in an X post that the expiration of the Client Incentive Program in April 2026 and the foundation’s ongoing treasury reductions risk undermining the institutional capacity built across Ethereum’s core development ecosystem over the past decade. The CIP, a four-year program that funded client teams through staking-based rewards, ended in April and “no replacement appears to be forthcoming,” VanEpps said. According to VanEpps, Ethereum’s core development ecosystem requires roughly $30 million in annual funding to maintain the secure delivery of features and maintenance across more than 10 client teams, research groups, and coordination teams. VanEpps cautioned that without consistent funding, the network risks losing contributors with critical institutional context built up over years, and falling behind on long-term challenges, including quantum computing and scaling. He said contributor availability cannot be assumed once funding conditions improve. “I believe we are underweighting the risk of this underinvestment in continuity,” VanEpps wrote in the post, adding that, “When we register the resulting symptoms in 12-18 months, the damage will be much harder and more costly to reverse.” Questions over stewardship emerge VanEpps also revisited the Ethereum Foundation’s long-standing philosophy of “subtraction,” a policy intended to reduce the organization’s influence over time. He said the approach succeeded in communicating that the foundation was not intended to become Ethereum’s sole center of power. Still, he argued it has been less effective in defining which responsibilities should move elsewhere, leaving gaps that the broader ecosystem has struggled to fill. VanEpps also raised succession planning, arguing that the Ethereum Foundation was never intended to serve as the network’s permanent steward and that new institutions and funding mechanisms will eventually be needed. He cited recent comments from Ethereum co-founder Vitalik Buterin that the foundation completed the work outlined in Ethereum’s original pre-launch documents in 2022 and “was not designed to be an eternal steward.” He called for new institutions and funding mechanisms to take over stewardship of Ethereum’s shared resources, including software, the network, and the ETH asset, and said scalable, accountable, and neutral funding models must be established to avoid an unfunded mandate. Departures The discussion came the same day Ethereum Foundation co-executive director and board member Hsiao-Wei Wang announced her departure following a sabbatical. Wang, who joined the foundation in 2017 and became co-executive director in March 2025, said she was stepping down effective immediately after serving through what Buterin described as one of the most challenging periods for the organization. The departure followed another wave of personnel changes. In May, researchers Carl Beek and Julian Ma announced they were leaving the foundation, adding to a list of recent exits that includes former co-executive director Tomasz Stańczak, Josh Stark, and Protocol cluster leaders Barnabé Monnot and Tim Beiko, while Alex Stokes entered a sabbatical. Amid the departures, Buterin said in May that the Ethereum Foundation would become “a smaller ship than in previous years” and would prioritize longevity over breadth while narrowing its focus to censorship resistance, open source development, privacy, and security. Ether traded near $1,688 on Friday, down 3.1% over the past 24 hours, according to The Block’s ETH price page. The cryptocurrency remains about 65.7% below its record high of $4,946 reached in August last year. Ref: https://scamers.net #Ethereum #ETH #EthereumFoundation #Vitalik #Web3 #Crypto #Blockchain #OpenSource #DeFi #CryptoNews