Ethereum Foundation is well-known in the community for being the organization behind the development of Ethereum [ETH], a leading smart contract platform and cryptocurrency. Its purpose is to support and promote Ethereum and its development, while also conducting base layer research. Lately, however, the Foundation has been under attack owing to its lack of transparency.
Eric Conner, Founder of ETHHub and host of Into the Ether, brought this issue up on his social media handle. He said that this was “an easy ask,” and that a report carrying basic information with regard to the Foundation could be released quarterly. He further added that this information could be provided “without doxxing people,” claiming that it could make funding debates easier as without it, “it’s hard to even form an opinion.”
“One of the most common concerns I see these days is EF transparency. It’s an easy ask and I believe the following would be enough published quarterly: -total headcount -high level org structure or team breakdown -avg salary by team or by role types -expected yearly burn rate”
DCinvestor, a Redditor, said,
Camila Russo, a Finance Journalist, agreed with Conner and tweeted,
“This is one of the biggest issues I’ve come across reporting for my book on Ethereum. Two things I would add to Eric’s list: Total assets held by the EF and more disclosure on how the money is spent. The best would be that they published their audited financial statements.”
This was followed by Russo pointing out the lack of clarity the community has with respect to the Ethereum Foundation. She said, “It’s pretty bad that people aren’t even sure who to ask.”
Notably, this is not the first time the Foundation is under the microscope over issues of transparency. The issue was previously raised when EF released a blog post pertaining to its grants system, a system under which the Foundation funds platforms contributing to the development of the Ethereum ecosystem.
The post released in February 2018 revealed details of nine projects that were funded. However, the lack of disclosure about these projects’ funding amounts by the Foundation resulted in people expressing their disappointment on social media platforms.
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Ethereum 2.0 migration is similar to a hard fork says, Blockstream’s Samson Mow
Ethereum 2.0 project was designed to solve the scalability and consensus problems as Vitalik Buterin , the co-founder of Ethereum said. The much-anticipated rollout features revamp in terms of security, scalability, and decentralization which could not be introduced by means of a hard fork in the existing Ethereum network. According to Samson Mow, the Chief Strategy Officer of Blockstream, “migration of one chain to another, in the case of Ethereum 2.0, is similar to a hard fork”.
In the latest edition of Magical Crypto Friends, hosted by Whale Panda, a prominent figure in the crypto space, took a jibe at the network and stated that Ethereum is basically “dumping Ethereum 1 for Ethereum 2” which would require jumping from one chain to another and “starting from scratch”, and subsequently crop up issues of “potential bugs” on the network.
Responding to which, Mow said,
“You have to expect that everyone is going to give up their old Ethereum or you find a way to migrate it to the new chain. [..] you’re still expecting everyone’s going to migrate right if people don’t migrate then technically you would have the legacy chain alive “
Mow went on draw parallels to the upcoming Ethereum 2.0’s Beacon chain. According to the CSO of the Bitcoin startup firm, the Beacon chain, which is the central blockchain that is responsible for coordinating other Ethereum blockchains, is “similar to Bitcoin main chain”. He further compared the Ethereum’s “shards” to that of Bitcoin’s “side chains”. Following the comparison, Riccardo Spagni, aka Fluffy Pony ridiculed,
“so maybe the dream is to take existing stuff that someone invaded for Bitcoin, rename it, and then that’s how you make it real”
Mow, who is a Bitcoin bull, had earlier singled out Ethereum and said that the blockchain has “no future”.
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