The Proposal for Ethereum’s Future
In November 2024, U.S. crypto developer Danny Ryan presented a proposal to Vitalik Buterin, Ethereum’s founder, regarding a potential transformative shift for the blockchain supporting the world’s second-largest cryptocurrency. Having spent seven years at the Ethereum Foundation (EF), Ryan believed that Ethereum was ready for a significant change and expressed willingness to lead this new direction if appointed as the EF’s executive director.
Growth and Opportunities
Since its inception in 2014, the EF had focused on technical improvements while maintaining decentralization. Now, with the crypto landscape evolving, Ryan suggested that the EF could adopt a more prominent role without sacrificing its core values. He cited shifting political landscapes as motivation, particularly noting his experiences with the Securities and Exchange Commission (SEC) and how they may have influenced the tech sector under President Joe Biden’s administration.
Political Influences in Crypto
As Donald Trump aimed for a return to the White House as the “crypto president,” Ryan recognized a significant opportunity for Ethereum. Trump’s campaign received substantial backing from crypto firms, establishing relationships that anticipated favorable policy adjustments. This new political climate could potentially enhance the crypto industry’s integration with traditional finance, influencing Ethereum’s trajectory as well.
Ethereum’s Stagnant Value
Despite these developments, Ethereum’s cryptocurrency, ether (ETH), saw a 20% decline year-over-year, reflecting a broader downturn in the crypto market. The price remained essentially unchanged since Ryan’s proposal, suggesting a high-risk environment for potential investors.
The Internal Dynamics at Ethereum
Ethereum is a significant player in global finance, with a market capitalization nearing $400 billion. However, there are two primary factions within Ethereum’s community. One faction emphasizes technology and systemic change, while the other focuses more on financial gains and institutional adoption. Ryan’s discussions with Buterin initially seemed promising but ignited controversy on social media, leading to calls for leadership changes within the EF.
Community Pressure and Leadership Changes
Community members have been urging leadership shifts at the EF, criticizing its passivity in promoting Ethereum’s adoption. While some critiques aimed at former executive director Aya Miyaguchi carried undertones of misogyny, broader discontent echoed standard shareholder frustrations. In early 2025, Buterin characterized threats against Miyaguchi as unacceptable and mentioned that he would decide the new leadership, signaling a departure from his usual portrayal of the foundation as community-governed.
New Direction for Ethereum
On March 1, 2025, the EF appointed two co-executive directors from contrasting backgrounds to set a new course focused on transparency and institutional engagement. This change came amid a recognition that the EF had previously operated defensively due to regulatory scrutiny. Ryan later announced the formation of Etherealize, a venture tailored to bridge Ethereum with traditional financial markets. While substantial cryptocurrency value fluctuations remain a concern, there’s a growing sentiment on Wall Street towards embracing blockchain technologies.
