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Vitalik Buterin: Ethereum Foundation Becoming a ‘Smaller Ship’ With a Narrower Mission

Vitalik Buterin: Ethereum Foundation Becoming a ‘Smaller Ship’ With a Narrower Mission

Vitalik Buterin says the Ethereum Foundation is shrinking — and that's by design. In a series of statements this week, the Ethereum co-founder described the organization as moving toward a smaller, more focused role within the ecosystem. 'EF will be a smaller ship than in previous years, a more opinionated one … but a longer-lasting one,' Buterin said. The remarks come as the foundation faces growing scrutiny over high-profile departures and questions about its strategic direction.

Not the center, just one node

Buterin was blunt about where the EF fits. It's 'not a center of Ethereum,' he said, but rather 'one node, with a defined purpose, alongside other nodes.' The foundation was originally created to complete specific objectives tied to Ethereum's early development phases — Frontier, Homestead, Metropolis, Serenity — which wrapped up in 2022. Now, Buterin said the EF is prioritizing longevity over expansion. It will focus only on activities critical to Ethereum functioning as a censorship-resistant, open, private, and secure system. That means allowing respected contributors and important initiatives to exist outside the foundation, attracting outside capital.

High-profile exits and restructuring

The EF's shift hasn't been painless. This year has seen notable departures including Tomasz Stańczak, Tim Beiko, Josh Stark, and Barnabé Monnot. ETH investor Ryan Berckmans argued those exits are tied to differing strategic approaches, leadership transitions, and organizational restructuring — not declining confidence in Ethereum. Buterin's own influence inside the EF is also shrinking, something he welcomes. 'The EF board is expanding and his own influence within the organization will continue to decrease, which he wants,' according to his statements. EF President Aya Miyaguchi has been carrying out much of the transition work, while Buterin's involvement has been limited to technical matters.

A focus on technical depth, not speed

Buterin laid out where Ethereum should compete — and where it shouldn't. He warned against competing solely on speed and scalability metrics, calling that a path to 'mediocrity.' Instead, he wants Ethereum to aim for goals like creating a provably bug-free Ethereum via AI-assisted formal verification, improving consensus design, and reducing reliance on intermediaries in transaction inclusion. None of that means abandoning scaling, Buterin noted: long-term technical goals remain compatible with high throughput through Layer 2 networks and other optimizations.

Token holdings and independence

Buterin also pointed out that the EF controls only about 0.16% of the total ETH supply. That's a tiny fraction compared to competing blockchain foundations, which reportedly hold between 10% and 50% of their network tokens. The small holding reinforces the EF's lighter touch — and its reliance on the broader community. Buterin acknowledged criticism that the EF's actions haven't always reflected Ethereum's values of decentralization, privacy, and acting as a 'sanctuary technology.' The restructuring is meant to close that gap.

For now, the foundation continues to slim down and redefine itself. Buterin's vision is clear: a smaller, more opinionated EF that lasts. Whether that satisfies the ecosystem's critics — or the departing staff — is the open question.