How can the embattled Ethereum Foundation save itself?
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How can the embattled Ethereum Foundation save itself?
The Ethereum Foundation must transform from a passive, reactive organization into an active, forward-looking driving force.
Navigating Web3 tides with focused insightsAuthor: Texture
Translated by: Luffy, Foresight News
The Ethereum Foundation is a paradox. While committed to decentralization, its operational model resembles a centralized entity—with a chairperson, a treasury, paid developers, and an inner circle. This structure, though essential for coordination, conflicts with Ethereum’s core principle of decentralization.
The Current State of the Foundation
Many may not realize that the current structure of the Ethereum Foundation is far from ideal. The previous lead, Ming, was removed by a group of individuals whose identities were never disclosed and who took no responsibility for the decision. Just days before her removal, I spoke with her, and she told me she had no intention of stepping down. Later, someone revealed to me who orchestrated her dismissal—but offered no explanation. I’ve heard that Ming was hands-on to a fault, and her strong leadership style made some people uncomfortable. I believe there may be truth in these claims, but such explanations often serve as surface-level justifications masking deeper underlying realities.
Based on how this organization has operated over the past seven years, I can infer some benevolent motivations. A key mission appears to be preventing internal power struggles and external control. These are noble goals, and they seem to have been achieved effectively.
Another major concern seems to be minimizing public visibility and structuring itself in a way that avoids provoking government backlash or liability when political winds shift. But as politics evolve and alternative options emerge in the market, the organization must adapt in both form and function.
Ethereum was visionary from the start—not merely a technical project, but one pointing toward previously unimaginable futures. It empowers individuals to accomplish what once required billions of dollars, thousands of people, or millions of labor hours.
Yet today’s Ethereum Foundation, in its effort to minimize internal and external threats, has lost sight of that original vision.
Lead with Vision
The next phase of Ethereum demands more than technical research and coordination. It requires visionary leadership—someone who not only understands the technology but also grasps its broader social, philosophical, and political implications. This leader must inspire a new generation of builders, connect technology with human needs, and navigate complex political landscapes without compromising Ethereum’s foundational values.
The Ethereum white paper is more than a technical document—it’s a beacon that draws like-minded individuals together under a shared vision. In times of chaos, uncertainty, and recurring conflict, it serves as a guiding light. What ensures our collective success isn’t the absence of challenges, but clarity about the mountain we’re striving to climb. This shared vision keeps us aligned even amid disagreements and setbacks.
This is an idea born of necessity—a blueprint greater than any individual behind it—that motivates a community to persist, innovate, and ultimately turn vision into reality. Without it, the project could easily collapse under the weight of its own ambition.
Prioritize Transparency and Community Engagement
Transparency is equally critical. Over recent years, the Foundation has increasingly retreated into the background, creating a sense of disconnection within the community. But without the community, Ethereum achieves nothing; without it, Ethereum means nothing. A community requires stewardship, cultivation, and care. It must attract new participants, infuse fresh energy and ideas—all bound by a common vision. This includes the teams building on Ethereum as well.
Capture the Regulatory Opportunity
From a legal standpoint, Ethereum must seize the chance to engage with policymakers. The current political environment in the United States is particularly favorable. Failure to act now risks losing hard-won momentum. Donald Trump, the U.S. president-elect, not only holds Ethereum but has launched a lending protocol on the network. Just one year ago, Democrats were openly hostile toward cryptocurrency, and the future seemed uncertain. The political landscape we now find ourselves in would have been unimaginable then. This is the optimal moment to secure crypto’s promise.
While maintaining political neutrality, the Foundation can create or promote frameworks that encourage both compliance and innovation. Without such frameworks, the crypto space will remain flooded with speculative projects—initial coin offerings (ICOs), decentralized autonomous organizations (DAOs), non-fungible tokens (NFTs)—all designed to circumvent regulation rather than build sustainable applications within it.
Practice What We Preach: Self-Governance Through Technology
The Ethereum Foundation should also consider using its own technology to coordinate operations and demonstrate the transformative potential of decentralized systems. By adopting Ethereum-based tools and protocols, the Foundation could manage governance, treasury spending, decision-making processes, and community engagement.
Doing so would not only showcase Ethereum’s capabilities but also strengthen trust within the community by embodying the very principles of decentralization and transparency that the project champions. Furthermore, leveraging the Ethereum ecosystem for self-coordination could serve as a real-world case study, inspiring developers and other organizations to explore similar solutions. By integrating its own technology into its operations, the Foundation can highlight the platform’s practical utility and set a precedent for how decentralized systems can effectively manage complex organizations.
Take Responsibility and Build the Future
Finally, financial accountability must become a top priority.
The Foundation spends $100 million annually and should deliver measurable outcomes. While substantial investments have been made in technical research, user experience in crypto has stagnated. Issues around usability, user interface, key management, security, and accessibility are not insurmountable—they’ve simply been severely neglected. This oversight reflects a blind spot that must be addressed, or else Ethereum will struggle to achieve broad adoption.
Ethereum was never just a technical project. From the beginning, it has been a visionary movement aimed at empowering individuals to achieve what once required vast resources. Today, that vision is at risk of fading. To rekindle it, the Foundation must embrace transparency, cultivate leadership, actively engage the community, and step forward boldly in legal and political arenas.
The story of Ethereum is one of triumph over chaos, a powerful testament to the strength of collective vision. To secure its future, the Ethereum Foundation must transform—from a reactive institution into a proactive, visionary force. For Ethereum, for the community, for the greater good, and for the future.
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