Ethereum May Need New Funding Within 3 to 9 Months as Core Development Faces Cash Crunch

Ethereum could face a funding shortfall in the coming months, raising the risk that core development slows or stalls.

Cointelegraph reported on June 19 that former Ethereum Foundation member Trenton Van Epps wrote in a recent blog post that Ethereum may face a critical funding crunch for core development and will need to secure new funding sources within the next three to nine months.

Van Epps wrote that cuts to Ethereum Foundation spending and the expiration of the Client Incentive Program, or CIP, in April have left Ethereum's core development ecosystem needing about $30 million in annual support. Citing discussions with core developers, he added that Ethereum risks entering a slow-moving funding crisis.

Departures from the Ethereum Foundation have also increased. Nineteen people have left the foundation this year, including co-Executive Director Hsiao-Wei Wang.

Ethereum co-founder Vitalik Buterin has also said the foundation could face financial strain. In a social media post last month, he said the Ethereum held by the foundation accounts for only about 0.16% of total supply, limiting its financial flexibility.