The Ethereum network could face a slow-burning funding crisis within three to nine months, warned Trent Van Epps, adding that spending cuts and a wound-down incentive program could squeeze the roughly $30 million-a-year effort that keeps Ethereum’s base layer running.
Key Takeaways:
Ex-Ethereum Foundation contributor Trent Van Epps warns of a funding crunch for core developers within 3 to 9 months. He says maintaining Ethereum’s core development costs about $30 million a year amid foundation spending cuts. The warning follows eight senior researcher departures from the Ethereum Foundation in 2026, five of them in May.Trent Van Epps, who for years helped coordinate funding for Ethereum’s core developers, has cautioned that the people who maintain the network’s base layer could face a shortfall within three to nine months, citing recent spending cuts at the Ethereum Foundation (EF) and the winding down of its Client Incentive Program (CIP) as key triggers.
Van Epps highlighted the risk not as a sudden collapse but as a gradual erosion of the resources that pay the engineers and researchers responsible for upgrades, security, and network maintenance. He estimated that sustaining Ethereum’s core development ecosystem costs about $30 million a year, adding:
“The foundation was never meant to be the network’s permanent steward.”
For years, much of the incoming funding flowed through Protocol Guild, a collective Van Epps helped organize to channel money to the contributors who keep Ethereum running. The mechanism pools donations and token allocations and distributes them to core developers, but it has long depended on voluntary contributions rather than a predictable budget. Van Epps has described that reliance as a transitional solution rather than a permanent fix.
An Exodus of TalentVan Epps’ warning follows a turbulent stretch for the foundation, given that eight senior researchers have left the EF this year, with five of those exits landing in May alone. The departures include high-profile figures such as co-executive director Tomasz Stańczak, alongside researchers and coordinators who had spent years on the project. Van Epps himself announced his exit on April 11, 2026, closing out a nearly five-year tenure.
Why The Warning MattersCore developers are the people who write, review, and maintain the software that secures hundreds of billions of dollars in value on Ethereum. Unlike a company with a fixed payroll, they have historically relied on a patchwork of grants, foundation budgets, and collective funding to stay in their roles. A sustained shortfall could push experienced contributors toward better-paid work elsewhere, slowing upgrades at a time when the network faces intense competition from rival chains.
