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  • Ethereum Foundation pauses open ESP grants to redesign funding for long-term priorities.
  • Curated grants will replace open applications with new goals announced in Q4 2025.
  • EF cuts treasury spending from 15% to 5% yearly to preserve resources for core projects.

The Ethereum Foundation has announced a pause in open applications for its Ecosystem Support Program. The decision aims to redesign its funding structure to focus on long-term strategic priorities and better resource allocation.

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Moving Toward Strategic Priorities

Since its launch in 2018, the program has funded projects that strengthen Ethereum’s ecosystem. In 2024 alone, $3 million was awarded to 105 initiatives, including Commit-Boost, BundleBear, Web3Bridge, and Ethereum Cypherpunk Congress.

The foundation explained that the high number of applications consumed much of its team’s capacity. “The high volume of inbound applications has consumed most of our time and resources,” the Ecosystem Support Program team said. This left little room for proactive support of high-priority projects.

Active grantees will continue to receive support, while builders will still have access to non-financial resources and office hours. EF emphasized that its commitment to public goods funding remains unchanged during this transition.

Future Direction of the Grant Program

The updated strategy will prioritize scaling infrastructure, developer tooling, and interoperability across Ethereum’s growing ecosystem. Fragmentation among layer-2 networks was identified as a challenge that requires coordinated solutions.

Ethereum’s ecosystem has expanded to more than $91 billion in total value locked in DeFi and $148 billion in stablecoins. The EF aims to maintain Ethereum’s position against rising competition from networks such as Solana and Avalanche. To ensure sustainability, EF recently introduced a treasury policy reducing spending from 15% to 5% of treasury funds annually. 

This shift preserves resources for long-term investment while supporting essential projects.The foundation confirmed that curated grants will replace open applications, with refined goals to be announced in Q4 2025. The new model seeks to fund projects most aligned with Ethereum’s roadmap and ecosystem priorities.

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