Ethereum Foundation May Shift ESP From Open Grant Applications to Curated Funding Model

  • ESP shifts from open grants to a curated funding model to focus on strategic ecosystem needs.

  • The pause addresses review capacity limits and aims to target interoperability, layer‑1 scaling and security initiatives.

  • In 2024 ESP awarded nearly $3M across 105 projects; Q1 2025 saw $32.6M in total grants.

Ethereum Foundation ESP overhaul: pause on open applications, curated grants, clearer priorities — learn what changes and what to expect next. Read more.

After awarding millions of dollars, the Ethereum Foundation is overhauling its Ecosystem Support Program, shifting from open applications to a curated model.

What is the Ethereum Foundation’s change to the Ecosystem Support Program?

The Ethereum Foundation’s Ecosystem Support Program (ESP) is moving from an open-application grant model to a curated approach to concentrate funding on predefined strategic priorities. The pause on open applications aims to free capacity for proactive outreach and targeted investments in interoperability, scaling and security.

How will the ESP’s curated model work?

The Foundation says the new model will involve proactive identification of high-leverage opportunities and targeted partnerships. Details are expected in Q4 2025 and will outline specific priorities, evaluation criteria, and a process for inviting or sourcing proposals aligned with those goals.

Funding, Developers
Ethereum Foundation lays out ESP’s evolving priorities. Source: Ethereum Foundation

The pause follows a period in which ESP supported hundreds of initiatives. The Foundation said a surge of inbound applications created “limited capacity to pursue new strategic opportunities,” prompting the shift to a model that emphasizes curated grants and strategic engagement.

ESP has a recent track record of sizable funding: nearly $3 million across 105 projects in 2024, and $32.6 million in grants disbursed during the first quarter of 2025.

Why is the Ethereum Foundation refocusing ESP priorities?

Ethereum faces growing competition from faster, lower-cost platforms, prompting a renewed emphasis on layer‑1 scaling, lower fees and an improved user experience. The Foundation flagged interoperability as “the highest‑leverage opportunity within the broader UX domain over the next 6–12 months.”

Layer‑2 proliferation has extended Ethereum’s utility but introduced fragmentation challenges. The new ESP approach aims to fund projects that reduce fragmentation, enhance cross‑chain UX, and strengthen security across the stack.

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With $91.5 billion in total value locked, Ethereum remains a dominant DeFi platform. Source: DefiLlama

When will details of the curated model be published?

The Foundation has committed to publishing a curated methodology and ecosystem priorities in Q4 2025. Expect clarity on thematic focus areas, selection criteria, and mechanisms for strategic outreach and co‑funding.

How will this affect projects and developers?

Projects should prepare to engage through proactive outreach channels rather than open applications. Teams working on interoperability, developer tooling, data & analytics, research and user experience improvements will be prioritized under the refined ESP strategy.



Frequently Asked Questions

How does the ESP change impact small developer teams?

Smaller teams should emphasize clear product‑market fit, measurable user impact and interoperability potential. Curated grants will likely favor projects that demonstrate leverage across the broader Ethereum UX and tooling stack.

What evidence should applicants prepare for curated selection?

Provide concise metrics (user growth, cost reductions, integrations), audited code or security reviews, a sustainable budget, and clear timelines to show readiness for strategic funding.

Key Takeaways

  • Strategic shift: ESP pauses open applications to adopt a curated grant model focused on ecosystem priorities.
  • Priority areas: Interoperability, layer‑1 scaling, security, developer tooling, and UX improvements.
  • Action for teams: Align proposals to published priorities, document measurable impact, and prepare for direct outreach.

Conclusion

The Ethereum Foundation’s move to a curated Ecosystem Support Program signals a tighter, strategy‑driven approach to grantmaking that prioritizes interoperability, scaling and security. Projects that can demonstrate cross‑ecosystem impact and measurable benefits will be best positioned for funding when the Foundation releases its Q4 2025 methodology. Stay prepared and monitor foundation communications for invitations and calls for strategic proposals.






Published: 2025-08-29 | Updated: 2025-08-29 | Author: COINOTAG

Related: No more ETH dumps? Ethereum Foundation turns to DeFi for cash (reference)

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