This budget cut coincides with the announcement of a 20% workforce reduction and follows the resignation of co-Executive Director Hsiao-Wei Wang, marking the ninth high-level departure since January.
By Margaux Nijkerk|Edited by Nikhilesh De Jun 23, 2026, 3:00 p.m. 2 min readMake preferred on ShareShare this articleCopy linkX (Twitter)LinkedInFacebookEmailMake preferred on SummaryShow- The Ethereum Foundation plans to cut its budget by approximately 40% this year as it shifts towards a more sustainable endowment-style financial model, aiming to lower annual expenditures from about 15% of its treasury assets to around 5% by 2030.
- This announcement follows a broader restructuring at the Ethereum Foundation, including a 20% decrease in staff and the resignation of co-Executive Director Hsiao-Wei Wang, bringing the total senior departures to nine since January.
The Ethereum Foundation (EF) is set to reduce its budget by about 40% this year, as part of a transition to a more streamlined, endowment-style operational model, according to Vitalik Buterin, the co-founder of Ethereum, in a blog post released Tuesday.
This budget reduction coincides with a confirmation of a 20% workforce reduction and the resignation of co-Executive Director Hsiao-Wei Wang. Her exit marks the ninth high-level departure from the organization since the beginning of the year, highlighting the extent of ongoing challenges within the Ethereum Foundation.
Buterin noted that these financial cuts are intended to lower the foundation’s annual spending from approximately 15% of its treasury assets before 2026 to a target of about 5% per year after 2030.
"I hold my EF colleagues in high regard and it pains me to acknowledge that significant losses are involved," Buterin remarked, emphasizing that these cuts necessitate "challenging choices" and the exit of seasoned engineers who have dedicated years to the Ethereum project.
The foundation aims to secure funding for Ethereum's ambitious future plans, which Buterin referred to as the protocol's "third iteration" following the Merge, while simultaneously cutting costs in other areas. The outlined changes include phasing out the Privacy and Scaling Explorations (PSE) unit, hosting smaller and less expensive Devcon conferences, narrowing the institutional strategy, and transitioning to more specialized client teams backed by AI-assisted formal verification.
Buterin also reiterated his vision for a "lean-and-done" future for Ethereum after the completion of its current roadmap, focusing development primarily on security enhancements and selective high-impact upgrades rather than continuous feature expansions.
The remarks come as Ethereum is under increasing pressure to bolster its competitive standing against other blockchain platforms while managing internal leadership changes and redefining the foundation's role within the ecosystem.
Read more: Ethereum Foundation cuts 20% of staff amid leadership exodus
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In May, combined exchange volumes fell 3.45% to $4.41T; the lowest since September 2024. RWA perpetual futures volumes rose 10.4% against the trend, hitting a new all-time high.
By CoinDesk ResearchJun 15, 2026In May, combined exchange volumes fell 3.45% to $4.41T; the lowest since September 2024. RWA perpetual futures volumes rose 10.4% against the trend, hitting a new all-time high.
Why it matters:
In May, combined exchange volumes fell 3.45% to $4.41T; the lowest since September 2024. RWA perpetual futures volumes rose 10.4% against the trend, hitting a new all-time high.
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