From late June to early July, three major changes occurred at the Ethereum organizational level: On June 22, five former Ethereum Foundation (EF) core researchers announced the establishment of Ethlabs, an independent non-profit research and development lab aimed at making Ethereum the settlement layer of the global economy; on June 23, the EF announced a new organizational structure, ending collaboration with about 54 employees (approximately 20% of total staff). After the restructuring, ETH governance shifts toward a multi-node division of labor.
Ethlabs Founded, Ethereum Institutional Launched
According to public information, the timeline of the three major events is as follows: On June 22, 2026, five former EF researchers announced the founding of Ethlabs; on June 23, the EF announced a new organizational structure, ending collaboration with about 54 employees (approximately 20% of total staff); on July 1, Ethereum Institutional officially launched, taking over the EF's market expansion team's institutional work accumulated over more than a year.
The EF stated that this round of layoffs is not a financial crisis but a practice of its long-standing "subtraction" organizational philosophy — a healthy Ethereum ecosystem should be maintained by a large number of independent organizations, rather than relying on an ever-expanding foundation.
Ethlabs: Founded by Five Former EF Researchers
According to Ethlabs' public statement, the founding members include five former EF core researchers who previously worked on Ethereum finality, scaling, data availability, the virtual machine, and protocol economics, respectively.
Ethlabs positions itself as an independent non-profit R&D lab serving Ethereum and ETH, advocating that Ethereum should become a neutral settlement infrastructure used jointly by digital assets, stablecoins, on-chain markets, institutions, and AI agents.
Unlike the EF, Ethlabs can more explicitly discuss growth, ETH's value capture, institutional demand, and real-world adoption, positioning itself between the core protocol and real users, translating the needs of the former into protocol research and deployable products.
Ethereum Institutional: Funded by Bitmine and Others, Led by Former Blackstone Executive Joseph Chalom
According to public information from Ethereum Institutional, EI was incubated with funding from Bitmine, Sharplink, and Joe Lubin, and is led by former Blackstone executive Joseph Chalom and other seasoned finance professionals. Its goal is to serve as a "neutral front door" for traditional institutions entering the Ethereum ecosystem. EI's five core work areas are as follows:
Institutional Education & Communication: Helping traditional financial institutions understand Ethereum's technical architecture, governance model, and current ecosystem status.
Institutional Market Intelligence: Tracking and analyzing trends, barriers, and best practices for institutional adoption of Ethereum.
ETH & Ethereum Ecosystem Promotion: Articulating Ethereum's value proposition to the traditional financial world.
Industry Needs & Standards Research: Translating institutions' actual needs into standard proposals and product requirements.
Institutional Events & Relationship Networks: Building ongoing relationships in financial hubs such as New York, London, Hong Kong, and Singapore.
Long-Term Strategy Behind EF's 20% Layoff
According to the EF announcement and a summary by imToken, the EF's "subtraction" philosophy has long had a clear basis: In the treasury policy published in 2025, the EF explicitly stated its plan to gradually narrow its scope of responsibilities, reduce annual operating expenditures over the next five years, and move toward a more long-term, sustainable foundation model.
After the restructuring, the EF's work is divided into five clusters (protocol layer, access layer, user layer, community layer, institutional layer), plus operations and management support. The reduction of about 20% of personnel is intended to focus resources on "work that only the EF can and must do."
The two major upgrades completed by the EF in 2025 (Pectra, May 7; Fusaka, December 3) were described by the EF as one of the most productive years in the protocol layer's history.
Frequently Asked Questions
Why did the Ethereum Foundation conduct large-scale layoffs and organizational splits?
According to the EF announcement and its long-standing organizational philosophy, this round of layoffs reflects the EF's "subtraction" strategy: a healthy Ethereum ecosystem should not rely on an ever-expanding foundation; the foundation's success should ultimately manifest as a decline in its relative influence, not unlimited growth. In its 2025 treasury policy, the EF explicitly proposed gradually narrowing its scope of responsibilities and reducing annual operating expenditures.
What is the core difference in positioning between Ethlabs and Ethereum Institutional?
According to the public statements of each organization, Ethlabs is positioned as an independent non-profit R&D lab focused on turning protocol research into growth, with the mission of "making Ethereum the settlement layer of the global economy." Ethereum Institutional is positioned as a "neutral front door" for traditional institutions entering the Ethereum ecosystem, primarily responsible for institutional education, needs research, and building relationships in financial hubs.
Who led the establishment of Ethlabs and Ethereum Institutional?
According to public information, Ethlabs was co-founded by five former EF core researchers (including Ansgar Dietrichs et al.). Ethereum Institutional was incubated with funding from Bitmine, Sharplink, and Joe Lubin, and is led by former Blackstone executive Joseph Chalom and other seasoned finance professionals.
