Konstantin Lomashuk, the mastermind behind the Lido staking protocol, has expressed plans to establish a ‘Second Foundation’ aimed at further developing Ethereum’s ecosystem.

In recent discussions, Vitalik Buterin, co-founder of Ethereum, laid out an extensive plan for the restructuring of the Ethereum Foundation (EF), the nonprofit body dedicated to fostering the development of Ethereum. Buterin’s proposals, shared on X (formerly Twitter), highlight efforts to simplify decision-making and rectify inefficiencies within the organization.

However, the announcement triggered backlash; critics argue that Buterin’s prominent role compromises the core principle of decentralization that Ethereum champions.

The Ethereum Foundation has long faced scrutiny for its potential centralizing effect on the Ethereum landscape. With rising competition, especially from other networks like Solana, there has been increasing pressure on the Foundation to articulate a clearer vision for Ethereum’s trajectory.

Read more: Ethereum’s Vitalik Buterin Goes on Offense Amid Major Leadership Shake-up
Buterin’s roadmap emphasizing ’layer-2’ networks has also drawn criticism, as some stakeholders express concerns regarding compromised security and diminishing base fee revenues.

Lomashuk, who previously raised apprehensions about the EF’s current direction, initially floated the idea of a ‘Second Foundation’ in a December post on X. He noted, “The concept of a ‘Second Foundation’ aims to foster competition among various groups, giving the community alternatives.”
*Translation: “The concept of a ‘Second Foundation’ aims to foster competition among various groups, giving the community alternatives.”

He emphasized the risks of continued centralization without competitive dynamics within the ecosystem.

Most recently, Lomashuk revealed a new account for the ‘Second Foundation’ initiative via a post on X.

While Lomashuk has not yet responded to inquiries about this initiative, Martin Köppelmann, an influential Ethereum developer close to him, stated that Lomashuk is ‘seriously contemplating this proposal,’ indicating a commitment to a more accessible and collaborative approach for Ethereum’s scaling solutions.

With Lido offering users an opportunity to aggregate their ETH for staking within the Ethereum network, Lomashuk’s growing influence in shaping the future of Ethereum presents intriguing dynamics as the project evolves. Lido currently maintains about 28% of Ethereum’s staked ETH, solidifying its position as the primary validator in the network.

In addition to founding Lido, Lomashuk co-founded P2P Validator and cyber.Fund, a venture capital firm, continuing to expand his footprint within the Ethereum ecosystem.