Trent Van Epps said Ethereum must build new institutions as Foundation reduces its role

Trent Van Epps, who previously held key positions within the Ethereum ecosystem, has stated that the network is now entering a pivotal transition in its long-term decentralization strategy. According to Van Epps, the focus of debate is shifting away from Ethereum’s very existence and toward the challenge of financing shared public infrastructure into the future.

Foundation narrows its role

Explaining his decision to step down from the Ethereum Foundation, Van Epps pointed to the organization’s growing intent to distribute authority and legitimacy throughout the broader ecosystem. Rather than accumulating power, the Foundation is deliberately scaling back its central role, with the ultimate objective of enabling multiple independent institutions to coordinate the network’s development together.

The Ethereum Foundation is widely recognized as a non-profit entity playing a vital part in the research, development, and support of the Ethereum ecosystem. However, recent leadership changes and workforce reductions have fueled fresh questions over the platform’s future governance model.

Annual need for $30 million in core development

Van Epps emphasized that annual core protocol development requires funding of around $30 million. He noted that the Ethereum Foundation’s treasury is gradually shrinking over time, drawing attention away from technical demands themselves and toward the necessity for new institutional frameworks that can address these ongoing needs.

Van Epps highlighted the Protocol Guild initiative, which has distributed approximately $40 million to Ethereum core developers over the last four years. Still, he argued that this funding model alone cannot satisfy the ecosystem’s broader financing requirements.

Mini Glossary: Protocol Guild is a funding initiative designed to provide long-term support for developers contributing to Ethereum’s core protocol. Public-good funding refers to the support of shared infrastructure critical for the network’s security and continuity, which may not generate direct revenue.

Competitive edge and the free-rider problem

Despite ongoing funding debates, Van Epps remains optimistic about Ethereum’s prospects. He maintains that the network continues to lead in decentralized finance, stablecoin settlement, and EVM adoption, arguing these network effects cannot be easily replicated by competitors.

Nonetheless, he cautions that coordination challenges may persist in the near term. Van Epps believes, however, that the involvement of new organizations and major stakeholders could help sustain the financing of shared infrastructure. He identifies the free-rider issue as a key hurdle—where companies benefit from public infrastructure without contributing to its maintenance and development costs.

Distributed governance may define the years ahead

Van Epps also underlines the importance of stronger advocacy for the ETH asset and calls for a clearer framework that links token usage with the expansion of the network’s on-chain economy. He argues that, in the long run, true success should be measured by widespread adoption, foreseeing a future where billions of users could gain access to Ethereum and its layer-2 ecosystem.

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