- Ethereum is facing internal turmoil after Geth lead developer Péter Szilágyi accused the Ethereum Foundation of secretly funding a rival development team, sparking concerns about transparency and governance.
- Meanwhile, a crypto whale’s $11 million leveraged long position and a bullish market breakout are fueling optimism for a potential ETH rally toward $3,670.
Geth Developer Blows Whistle on Secret Ethereum Fork
Ethereum is grappling with internal turmoil after lead Geth developer Péter Szilágyi publicly accused the Ethereum Foundation (EF) of secretly funding a competing development team—without informing the core developers. Szilágyi’s allegations suggest EF backed a second Geth team within Nethermind while proposing salary cuts and offering $5 million for the original team to spin off.
According to Szilágyi, he discovered the covert project in late 2024 and was fired after confronting EF representative Josh Stark. His accusations cast doubt on the Foundation’s transparency and governance, especially given Geth’s critical role in maintaining Ethereum’s network.
The Foundation’s alleged move may be a strategic push for client diversity—a long-standing goal to reduce technical risks. However, the secretive execution and lack of communication have sparked backlash from developers and the broader Ethereum community.
Foundation Restructures as Trust Frays
The controversy comes on the heels of a major restructuring at the Ethereum Foundation. On June 2, EF announced staff layoffs and a pivot toward scalability, including improvements to “blobspace” and user experience. The organization also pledged financial transparency and will now fund development using returns from DeFi platforms rather than selling ETH.
While the shift aims to strengthen Ethereum’s infrastructure and fiscal sustainability, the timing alongside Szilágyi’s revelations raises concerns over internal coherence and values.
Whale Bet on ETH Fuels Market Optimism
Despite the drama, Ethereum price action tells another story. On June 10, a crypto whale placed a massive $11.15 million leveraged long on ETH—betting on a rally with 25x leverage. The position, entered at $2,758, has already seen substantial gains as ETH surged past $2,850, triggering speculation of a move toward $3,670.
The trade coincided with a breakout from a bullish flag pattern, and Ethereum’s options market now shows growing demand for call options over puts—signaling that traders anticipate further upside in the short term.
Internal Rift Meets External Momentum
While Ethereum’s governance crisis is raising eyebrows, strong whale conviction and bullish technical indicators are providing a counterweight to the uncertainty. Whether ETH can sustain this momentum amid internal disarray remains to be seen—but one thing is clear: Ethereum’s future is being shaped by both boardroom battles and bold market bets.
