A former Ethereum Foundation member says the network must rapidly build alternative funding systems as the Foundation pulls back from its central role.
Trent Van Epps described Ethereum as entering a critical phase in its decentralization roadmap. He said he left the Foundation after it became clear the organization would accelerate its strategy of stepping aside and shifting responsibility to the broader ecosystem.
Rather than concentrating power, the Foundation is deliberately reducing its influence to allow independent groups to take the lead in supporting and coordinating the network. His comments follow leadership changes and layoffs that have raised fresh concerns about Ethereum’s governance direction.
Van Epps said the real issue facing Ethereum is financial, not structural. He estimates that maintaining core protocol development costs around $30 million annually, even as the Foundation’s treasury continues to shrink.
The challenge, he noted, lies in finding new institutions willing to fund the public goods that ensure the network’s security and stability. While his Protocol Guild initiative has distributed nearly $40 million to developers over the past four years, he said it cannot fully replace broader ecosystem support.
Despite these concerns, Van Epps remains optimistic about Ethereum’s future. He pointed to its dominance in decentralized finance, stablecoin activity, and EVM adoption, arguing these advantages are difficult for competitors to replicate.
He also highlighted the “free rider” problem, where companies benefit from Ethereum’s infrastructure without contributing to its upkeep, as a key barrier to solving the funding gap.
Looking ahead, Van Epps expects Ethereum’s governance to become increasingly decentralized, with the Foundation taking on a more limited role alongside new organizations focused on research, commercialization, and ecosystem expansion.
He added that Ethereum needs stronger messaging around ETH as an asset, along with a clearer narrative linking it to the network’s growing on-chain economy.
Ultimately, he said success will depend on adoption, with the long-term goal of bringing billions of users onto Ethereum and its Layer 2 ecosystem.
