Who Really Runs Ethereum? Ex-Core Dev’s Resurfaced Letter Spurs Fresh Debate
The Ethereum Foundation is below scrutiny following the resurfacing of a May 2024 letter from a former core developer.
In the doc, the developer lambasted the EF’s organizational tradition, accusing it of fostering an elite-driven energy construction centered on co-founder Vitalik Buterin whereas marginalizing key contributors by insufficient compensation.
What’s Really Happening Inside the Ethereum Foundation?
Péter Szilágyi, who led Geth (Go Ethereum) from 2015 until his departure in 2025 publicly shared a letter he wrote to the Ethereum Foundation on May 22, 2024. In it, he highlighted three important ache factors, voicing deep dissatisfaction with the Foundation’s governance, compensation construction, and total path.
First, Szilágyi revealed that he struggled with a disconnect between how the EF portrays his position and the way it treats him internally. While the Foundation publicly offered him as a key chief embodying Ethereum’s open values, he claimed his enter was usually dismissed behind closed doorways.
Szilágyi additionally voiced centralization considerations. The developer accused Buterin of holding oblique however absolute affect over Ethereum’s ecosystem. According to Szilágyi, Buterin’s opinions, consideration, and investments largely decided which initiatives thrive.
“I’ve the utmost respect for Vitalik, however he grew to become a sufferer of his personal success. Whether he desires to or not, he’s – and has at all times been – immediately defining what turns into profitable in Ethereum and what doesn’t……Ethereum could also be decentralised, however Vitalik completely has full oblique management over it,” he wrote.
Szilágyi claimed that the ‘small ruling elite’ of 5-10 folks round Buterin—held energy in shaping the network’s direction. This focus of energy, he argued, contradicts Ethereum’s founding precept of open participation and equality.
“We got down to create a world of equal alternative, but all probably the most profitable initiatives are immediately backed by the identical 5-10 folks, behind who you will discover the identical 1-3 VCs. And all this direct management is one pleased buddy circle of Vitalik. Ethereum’s path at all times boiled all the way down to your relationship with Vitalik.”
Furthermore, Szilágyi criticized EF’s monetary practices. He careworn that EF systematically underpaid the very people who constructed and maintained the community’s core infrastructure.
Szilágyi highlighted that over his first six years on the Foundation—whereas Ethereum’s market capitalization grew to a whole bunch of billions of {dollars}—his whole earnings amounted to solely $625 000 earlier than taxes, with no incentives or fairness.
“To paraphrase Vitalik: ‘if somebody’s not complaining that they’re paid too little, then they’re paid an excessive amount of.’ I really imagine this has been one of many greatest failures of EF management, and the truth that the Foundation is structured internally to intentionally conceal this data, makes me firmly imagine that even when initially this was unintended, the Foundation has since leaned full weight into it,” the previous developer added.
Previosly, Szilágyi also alleged that the EF pressured the Geth staff to spin out as an impartial entity, providing $5 million to facilitate the separation.
Former Developer’s Letter Sparks Backlash Against Ethereum Foundation
Meanwhile, the revelations sparked intense criticism of the Ethereum Foundation from the neighborhood. Szilágyi’s feedback about pay gaps rapidly grew to become a flashpoint, with many questioning how the inspiration has been utilizing its huge sources.
“if the lead dev on the ethereum basis was making $100k/12 months for the final 6 years what have they been doing with the billions in eth they’ve been dumping throughout our heads?” a consumer asked.
Sandeep Nailwal, CEO and co-founder of Polygon, additionally publicly questioned his loyalty to Ethereum. He expressed frustration over the dearth of assist from each the Ethereum Foundation and its core neighborhood.
Nailwal described the surroundings as exclusionary and famous a rising disconnect between Ethereum’s founding beliefs and the best way it treats main contributors like Polygon.
“The Ethereum neighborhood as a complete has been a shit present for fairly a while….the Ethereum neighborhood ensures Polygon is rarely thought of an L2 and is rarely included within the markets’ percieved Ethereum Beta…When Polymarket wins massive, it’s “Ethereum,” however Polygon itself just isn’t Ethereum. Mind-boggling,” he commented.
In response, Buterin sought to defuse tensions, posting a prolonged commendation of Nailwal and Polygon on X.
“I actually admire each @sandeepnailwal’s private contributions and @0xPolygon’ s immensely invaluable position within the ethereum ecosystem,” he stated.
The govt praised Polygon for hosting Polymarket, supporting high-scalability functions and investing early sources in ZK-EVM analysis and creating key infrastructure like AggLayer. He additionally recommended Nailwal for his philanthropy, together with his management in CryptoRelief and returning $190 million in SHIB proceeds, which funded Buterin’s Balvi anti-pandemic initiative.
Nonetheless, neither the Ethereum Foundation nor Buterin have commented on the claims specified by Szilágyi’s letter. The neighborhood now awaits Ethereum’s subsequent actions, which might set main precedents for blockchain governance worldwide.
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