The Ethereum Foundation is reducing its workforce by 20%: internal restructuring and new clusters
The Ethereum Foundation (EF) has completed a large-scale reorganization that lasted several months and was aimed at implementing a new Mandate and Treasury Management Policy. As a result of the changes, the foundation parted ways with 54 employees, representing approximately 20% of the entire team. This decision is not just a reduction, but part of a strategic shift toward a more efficient and flexible management structure.
The new organizational model of the EF now includes five key working clusters: Protocol Layer, Access Layer, User Layer, Community Layer, and Institutional Layer. Additionally, operations and management support blocks have been allocated. This structure is designed to optimize resource allocation and strengthen the focus on key areas of Ethereum ecosystem development.
For laid-off employees, the foundation offered severance packages: at least one month's salary for each year of service or the local statutory minimum, as well as assistance in finding a new role within the ecosystem and a small grant for related expenses. This demonstrates the EF's desire to maintain loyalty and support talent even under conditions of stringent optimization.
My professional analysis: Such steps are a sign of the industry's maturation. The Ethereum Foundation, as one of the largest players, is forced to adapt to market reality, where the efficiency of capital and personnel management becomes critically important. A 20% reduction is a signal to the market that even non-profit organizations are transitioning to more pragmatic models. In the short term, this may cause temporary difficulties, but in the long term, it will strengthen Ethereum's position as a leader in the race for scalability and decentralization.