Co-founder Vitalik Buterin hinted that the Ethereum Foundation will reduce its central role in the Ethereum ecosystem and reduce ETH sales to focus on the long-term development of the network.
At the time of writing, Ethereum price was at $2,103.76, up 0.31% since it opened early Monday in Asian trading.
According to Buterin, the Ethereum Foundation no longer wants to act as the main coordinator of Ethereum, but rather just be one of the ‘nodes’ in a more open and decentralized ecosystem.
He said the foundation’s president, Aya Miyaguchi, is leading the transition process, which is expected to take several months to stabilize.
The change comes after criticism from the community that the foundation’s actions are not in line with the principles of decentralization and privacy that Ethereum has often championed.
Buterin also explained that the Ethereum Foundation currently only holds around 0.16% of the total Ether (ETH) supply, much lower than some competing blockchain foundations that own between 10% and 50% of their token supply.
At the same time, he said that the original mandate of the Ethereum Foundation, which began in 2014, was actually completed in 2022 after the successful completion of major Ethereum developments such as Frontier, Homestead, Metropolis and Serenity.
Now, the foundation wants to focus on four main priorities known as 'CROPS', namely censorship resistance, openness, privacy and security.
Buterin said Ethereum should not compete solely on speed, but rather focus on developing technology that is difficult for other blockchains to imitate.
Following this, the Ethereum Foundation will sell fewer ETH to ensure that financial resources can be used for long-term development.
Among the main focuses include the use of AI to reduce network bugs, improve the security of the consensus system and reduce dependence on third parties through the development of new Ethereum digital wallet technology and infrastructure.
