Vitalik Buterin: Ethereum Foundation budget cut by 40% this year

Ethereum founder Vitalik Buterin announced that the Ethereum Foundation (EF) has cut its budget by approximately 40% this year as it transitions toward becoming a long-term, endowment-based organization. Buterin said on X that while the foundation previously spent about 15% of its remaining funds annually, it aims to reduce this to around 5% after 2030. He described the budget cut as a decision involving real sacrifice, not just a move for efficiency, adding that the organization has lost some of its important capabilities. Despite the cuts, Buterin emphasized that the EF will continue to advance its Ethereum Strawmap roadmap, which includes consensus, proof systems, privacy, account models, and other core infrastructure. He noted this work will constitute Ethereum's third generation, following the initial Ethereum and The Merge. The news follows a previous announcement that the Ethereum Foundation had completed a reorganization, reducing its workforce by 54 people, or about 20% of its staff.