The Ethereum Foundation is undergoing a major restructuring: a 20% staff reduction and a shift to a cluster model.
The Ethereum Foundation (EF) has completed a multi-month reorganization aimed at optimizing internal processes and improving treasury management efficiency. As part of the implementation of the new strategy, the foundation introduced a Treasury Mandate and Policy, which served as the basis for radical structural changes.
The new organizational structure of the EF is based on five working clusters: Protocol Layer, Access Layer, User Layer, Community Layer, and Institutional Layer. Additionally, operational and management support units have been designated. This approach is intended to ensure a clearer distribution of responsibilities and accelerate decision-making in key areas of ecosystem development.
The most notable consequence of the reorganization has been staff reduction. The foundation parted ways with 54 employees, representing approximately 20% of the total team size. Laid-off employees have been offered severance packages, including 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 Ethereum ecosystem and a small grant for related expenses. These measures demonstrate the foundation's commitment to mitigating the social impact of the restructuring.
From my perspective, this step is a logical continuation of the trend toward professionalizing management in major blockchain projects. The Ethereum Foundation, which long operated as a decentralized team of enthusiasts, now must adapt to the realities of a mature market. The 20% staff reduction is not merely cost optimization but a signal that the foundation intends to focus on specific, measurable results rather than maintaining a broad but diffuse structure. In the long term, this could enhance Ethereum's competitiveness, but in the short term, it will create certain risks for ongoing projects, particularly in the Community Layer sphere.