Ethereum's $30M Tab: Former Foundation Staffer Sees Bill Coming Due, Tom Lee Says No

Former Ethereum Foundation contributor Trent VanEpps has warned that Ethereum's core development ecosystem could face a "slow-burning funding crisis" within the next three to nine months, estimating that client teams, researchers, coordinators, and protocol developers require roughly $30 million per year to operate. VanEpps, who worked at the Ethereum Foundation from 2021 to 2026 and co-founded Protocol Guild, the network's main outside funding vehicle, flagged two converging pressures: the April 2026 expiration of the Foundation's four-year Client Incentive Program, which had directed staking rewards to client teams, and the Foundation's June 2025 treasury plan to lower annual spending from 15% to around 5% by 2030. No replacement program for the CIP has been announced. Cointelegraph was unable to independently verify the $30 million annual figure and reached out to the Ethereum Foundation for comment.

The funding debate coincides with a wave of senior departures from the Foundation. Co-executive director Hsiao-Wei Wang, author of the 2025 treasury policy, announced on June 18 that she would step down, following the February exit of co-executive director Tomasz Stańczak. Both co-director seats have turned over this year, and at least eight senior staff members have left in the past five months, bringing the estimated total of layoffs and departures at the organization to roughly 19 in 2026. Wang said in her statement, "After my sabbatical, I have decided to step down as co-executive director and board member of the Ethereum Foundation effective today." Board member Bastian Aue is serving in an interim capacity, and researcher Dankrad Feist said, "The problem isn't with the strategy, it's with management. And this exodus of talent is truly bearish for Ethereum, sadly."

The Foundation has also been actively reshaping its reserves. In a May 24 X post, Ethereum co-founder Vitalik Buterin said the organization held only about 0.16% of Ether's total supply and was "choosing to use its remaining resources to pursue longevity over breadth (yes, this means we sell less ETH)." The Foundation unstaked 17,000 ETH in late April and another 21,270 ETH in early May, then sold 10,000 ETH to Bitmine Immersion Technologies, the largest corporate $ETH holder, in an over-the-counter deal on May 1. Blockchain analytics platform Arkham said the unstaking may have occurred due to the Foundation's need for funds for further network development.

Tom Lee, chair of Bitmine Immersion Technologies, pushed back on the funding warnings, telling reporters there is "zero chance" of a crisis. He framed the debate as one of perception rather than structural shortfall, arguing that the $30 million annual need is modest relative to Ethereum's market position and that new funding mechanisms will emerge. Buterin has separately said the Foundation was never designed to be the network's permanent steward and that the EF's core roadmap milestones were largely completed by 2022, signaling that new institutions, funding models, and governance structures will likely need to emerge as Ethereum enters its next phase. Without consistent funding, VanEpps warned, Ethereum could lose experienced developers and slow progress on scaling, quantum-resistance research, and other protocol priorities.