A former Ethereum Foundation executive emphasizes the urgent need for new funding mechanisms as the Foundation reduces its involvement.
By AI Boost|Edited by Jennifer Sanasie Jun 26, 2026, 6:37 p.m. 2 min readMake preferred on ShareShare this articleCopy linkX (Twitter)LinkedInFacebookEmailMake preferred onLatest developments: Trent Van Epps warns that Ethereum's long-term decentralization approach is at a pivotal moment.
- Van Epps departed from the Ethereum Foundation when it became evident that the organization was intensifying its "subtraction" strategy, transferring authority and legitimacy to the larger ecosystem.
- He characterized the Foundation's intention as a deliberate reduction of its central authority, advocating for multiple independent entities to eventually manage the ecosystem.
- These remarks follow recent shifts in Ethereum Foundation leadership and staff cuts, raising concerns about the governance of Ethereum's future.
- Van Epps shared his insights in a conversation with CoinDesk's Jennifer Sanasie on Markets Outlook.
What this means: Van Epps believes Ethereum is facing a significant funding issue rather than a dire crisis.
- He suggested that maintaining core protocol development necessitates approximately $30 million annually, even as the Ethereum Foundation's financial reserves dwindle.
- Van Epps emphasized that the challenge lies not in decreasing technical requirements but in finding new organizations ready to fund public goods that ensure the network's reliability and security.
- His Protocol Guild initiative has allocated nearly $40 million to Ethereum core developers over about four years, yet this is insufficient to replace the broader funding needed for the ecosystem.
Reading between the lines: Despite concerns about funding, Van Epps remains optimistic about Ethereum's prospects.
- He noted that Ethereum continues to excel in decentralized finance, stablecoin transactions, and EVM adoption, with network effects that are hard for competitors to replicate.
- While he acknowledged short-term coordination challenges, he expressed hope that new institutions and key stakeholders would emerge to support Ethereum's shared infrastructure financially.
- He also highlighted the "free rider" issue, where companies gain from shared infrastructure without contributing to its upkeep, as a significant barrier to addressing the funding gap.
What comes next: Van Epps anticipates a more decentralized governance structure for Ethereum over the next decade.
- He expects the Ethereum Foundation to maintain a more focused role alongside newer organizations that concentrate on research, commercialization, and ecosystem development.
- He believes Ethereum requires stronger advocacy for ETH as an asset and a more coherent narrative linking the token to the network's growing on-chain economy.
- In the long run, Van Epps suggests that success should be measured by widespread adoption, with billions of users eventually interacting with Ethereum and its Layer 2 ecosystem.
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