The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
Sign in to access this content
Sign InIn a move aimed at redefining the foundation's role within the ecosystem, Vitalik Buterin announced a downsizing of the Ethereum Foundation and the adoption of the 'CROPS' strategy to sharpen technical focus. According to reports, the new plan includes a commitment to sell less ETH and an expansion of the foundation's board to enhance collective governance and reduce Buterin's direct influence. Buterin emphasized that the foundation should be viewed as 'one node' with a defined purpose rather than the network's central authority.
This structural shift occurs as Ethereum seeks to bolster financial transparency relative to its peers, with investors closely monitoring the liquidation policies of major foundations. Compared to other blockchain entities like the Solana Foundation, this move aims to reassure the market regarding potential sell-side pressure, which experts view as a response to concerns over centralized decision-making and the impact of foundation sales on price stability per market data.
On the trading front, the price of ETH remained at key technical consolidation levels (close May 25, 2026) pending the implementation of the 'CROPS' strategy and its effect on circulating supply. Traders are currently monitoring the upcoming economic calendar, where inflation data from the UK and Canada may influence risk appetite for digital assets, given the absence of other immediate technical catalysts for the network.
Update: This pivot includes the introduction of the 'CROPS' framework, focusing on censorship and capture resistance, alongside a formal commitment to reduce the frequency of ETH sales. Furthermore, the foundation aims to decrease its organizational size to limit its centralized influence over the network.
Update: New reports reveal that at least nine senior members have departed the Ethereum Foundation in 2026 amid growing community frustration over EF-linked ETH sales. This internal turnover aligns with Buterin's advocacy for a leaner, more opinionated foundation that holds a less central role in the network's long-term evolution.
Update: In further clarifying this path, Buterin described the Foundation as becoming a "smaller ship" aimed at reducing its ETH sales to mitigate price pressure. Additionally, Buterin disclosed his deep personal commitment to the network, noting that ETH currently represents 90% of his total net worth.
Update: In a subsequent technical development, Buterin revealed the foundation's push toward adopting AI-verified code to enhance network security. He further clarified that the organization is transitioning to a leaner, more specialized operational model designed to ensure Ethereum's long-term longevity.