Vitalik Buterin Says Ethereum Foundation Is Refocusing
Ethereum creator Vitalik Buterin revealed Sunday that the Ethereum Foundation is dramatically narrowing its focus and transitioning into a leaner organization centered around Ethereum’s original cypherpunk principles.
In a lengthy post on X, Buterin described the foundation as “one node, with a defined purpose, alongside other nodes,” emphasizing that the nonprofit should no longer be viewed as the central authority guiding Ethereum’s future.
According to Buterin, the foundation is now prioritizing long-term sustainability over broad operational expansion.
Leadership Departures Intensify Community Concerns
The comments come during a turbulent period for the Ethereum Foundation.
Over the past several months, multiple senior figures have departed the organization, sparking concerns among community members and developers about the foundation’s direction and influence.
Last week alone, two longtime Ethereum Foundation veterans announced their resignations, saying they wanted to pass responsibilities to a new generation of contributors.
At the same time, former Ethereum Foundation researcher Dankrad Feist publicly argued for the creation of a more economically aligned organization that would actively focus on Ethereum’s market performance.
Feist controversially suggested Ethereum may need “a board of people who want ETH to go up,” reflecting growing frustration among some investors who believe the foundation has become disconnected from Ethereum’s financial competitiveness.
Foundation Rejects Focus on ETH Price
The tension escalated after the Ethereum Foundation released a new mandate in March that explicitly downplayed the importance of increasing the price of Ethereum.
The document emphasized values such as decentralization, openness, privacy, censorship resistance, and public-good infrastructure rather than short-term token appreciation.
It also drew criticism for referencing the controversial Milady Maker NFT project multiple times, further fueling debate inside the Ethereum ecosystem.
Under interim co-executive director Bastian Aue, the organization is now reorganizing itself around a framework known as CROPS, focused on censorship resistance, openness, privacy, and security.
Buterin argued that chasing purely cheap and fast transactions would lead Ethereum toward “mediocrity.”
Ethereum Foundation Entering “Mild Austerity”
As part of the restructuring, Buterin said the Ethereum Foundation plans to reduce ETH sales and operate with tighter spending controls.
He described the organization as entering a period of “mild austerity” while attempting to preserve its long-term financial runway.
The foundation currently controls roughly 0.16% of Ethereum’s total supply, worth approximately $408 million at current prices.
Funding practices at the nonprofit have repeatedly faced scrutiny from parts of the Ethereum community, especially during periods where ETH prices struggled relative to competing blockchains.
Buterin himself has also attracted criticism in the past whenever public wallet trackers revealed ETH sales linked to his holdings.
Buterin Says 90% of His Wealth Is in Ethereum
During the post, Buterin also highlighted his own financial exposure to Ethereum.
He stated that roughly 90% of his personal net worth remains tied to ETH, underscoring that he still has strong economic alignment with the network despite criticism from some investors.
At the same time, Buterin said his own influence within the Ethereum Foundation is expected to continue shrinking over time.
The comments appear aimed at reinforcing Ethereum’s long-standing philosophy of decentralization and reducing dependence on any single individual or institution.
Ethereum Foundation Wants More AI and Security Research
Looking ahead, Buterin outlined several areas he believes should become top priorities for Ethereum’s ecosystem.
These include building provably bug-free systems using advances in artificial intelligence, preserving Ethereum’s unique consensus architecture, and reducing reliance on transaction intermediaries.
The emphasis on AI-assisted security research reflects a growing trend across the blockchain industry, where developers are increasingly exploring machine learning tools for auditing smart contracts and improving protocol safety.
Ethereum Still Far Below All-Time Highs
Despite Ethereum remaining the second-largest cryptocurrency by market capitalization, the asset continues trading far below its historical peak.
ETH recently traded near $2,100, according to CoinGecko data, down roughly 57% from its all-time high near $4,950 reached during the previous cycle.
The ongoing leadership reshuffling and philosophical debates surrounding the Ethereum Foundation arrive as the network faces increasing competition from rival smart-contract platforms while attempting to maintain its dominance across decentralized finance, stablecoins, and tokenized assets.
