Altcoins News

Story: Ethereum Validators Could Redirect 10% of Staking Rewards Under New Proposal

By Bruce Buterin

1 / 15

Cartel Risk and Attack Vectors. Not everyone buys it. The cartel concern is probably the loudest objection.

2 / 15

Voluntary vs. Protocol-Level Funding. Some developers think the whole protocol-level approach is unnecessary.

3 / 15

Funding Pressure Behind the Proposal. The timing isn't random. Former Ethereum Foundation insider Trent Van Epps has warned about…

4 / 15

A new Ethereum proposal wants validators to give up a slice of their staking rewards — up to 10% — to fund core development. It's a bold idea, and the community is split.

5 / 15

The proposal comes from Ethereum contributor Clément Lesaege, who calls it "Validator Redirected Revenue.

6 / 15

Lesaege frames it as a fix for what he calls a "coordination problem." Infrastructure work that benefits the whole Ethereum network often goes underfunded because individual…

7 / 15

Not everyone buys it. The cartel concern is probably the loudest objection. If a majority of validators coordinate, they could technically vote to redirect funds straight to…

8 / 15

Micah Zoltu pushed back harder. His concern isn't just cartel formation in the abstract — it's that creating a dedicated, protocol-level fund introduces attack vectors that…

9 / 15

The two positions aren't easy to reconcile. Lesaege is essentially betting on social norms and game theory.

10 / 15

Some developers think the whole protocol-level approach is unnecessary. Pseudonymous developer señor doggo made the case for voluntary competition — let validators choose to…

11 / 15

Related: Ethereum Proposes Redirecting Validator Rewards to Fund Network Development

12 / 15

DeFi builder S. More landed somewhere similar. He said he'd be willing to donate part of his own staking rewards to development groups he supports, but only if it stays…

13 / 15

It's worth stepping back here. The debate isn't really just about funding mechanics. It's about what kind of governance model Ethereum wants.

14 / 15

The timing isn't random. Former Ethereum Foundation insider Trent Van Epps has warned about funding pressure building as existing programs wind down and spending gets cut.

15 / 15

Whether it goes anywhere is unclear. Majority validator support is a high bar, and the governance debates alone could stall things for months.

The Currency Analytics

Want the full story?