Ethereum Foundation
Conflict of Interest Policy
In order to serve the Ethereum ecosystem the EF must have high integrity. This means that our actions must be sincerely motivated by the long-term interests of the Ethereum ecosystem.
To preserve that integrity, the EF has adopted a conflict of interest (COI) policy in 2024. The purpose of this policy is to help guide and set some boundaries for EF team members (“EFers”) on how they navigate certain relationships with the broader Ethereum ecosystem, especially where such relationships could affect the EF’s integrity or reputation for integrity.
The most important way in which we preserve the EF’s integrity is by hiring people who already demonstrate high integrity, and for them to exercise good judgment. This policy is intended to support EFers in exercising such good judgment, by providing clearer guidance, establishing a process by which EFers can discuss specific circumstances, and setting some boundaries we believe are necessary to deal with extreme cases.
Following the first year of operating the initial policy (v 1.0), we assessed its performance, collected feedback, and made updates. We plan to review the policy annually and refine it as the ecosystem and our understanding progress.
Summary of EF Conflict of Interest Policy v 1.1
EFers can invest in liquid crypto assets without limits
- But must tell the EF about investments above $500K (other than ETH)
- In some cases, extremely high exposure might require recusal from decisions that relate to the conflict, or other mitigations
For other potential conflicts of interest, EFers must consult with an internal discussion group composed of EF management, the EFer’s team lead, EF legal, EF people ops, and other EFers currently serving a rotating 1-year term in the internal discussion group.
- The goal of the discussion group is for the EFer and others to think together through the risks, downsides, and upsides of the opportunity
- The EFer shares responsibility for considering how a potential conflict could impact the EF’s integrity
- In some cases, the discussion group might require mitigations like recusals on certain decisions relating to the potential conflict, or deny the opportunity entirely
Examples of specific categories of potential conflicts of interest:
EFers can take on work outside the EF with liquid pay at observable fair market value
- But must tell the EF before starting and consult their team lead
- If the total value of the outside work is above $25K annually, it must be reviewed by the discussion group
EFers can take on work outside the EF with illiquid/locked pay at observable fair market value and in untraded assets
- But must tell the EF, and the discussion group must review it
- The discusion group will consider factors like:
- Whether the EFer’s work is directly related to the subject of the outside work
- Whether we have information about the value of the asset used for payment
- Whether there is significant upside to the Ethereum ecosystem for the EFer to accept the opportunity
EFers can make angel investments
- But must tell the EF before investing
- Investments above $10K USD should be disclosed before making them; the discussion group reviews them and may set mitigations.
EFers can invest in funds
- But must tell the EF before investing, and the discussion group must review each investment
EFers can co-found projects while at the EF
- But must tell the EF before co-founding, and it must be reviewed by the discussion group
- Must be regularly re-assessed for material changes, which may result in future mitigations
- EFers must understand and accept the risk that co-founding a project could develop into a situation that is incompatible with staying at the EF
Additional notes
- This COI policy applies only to potential conflicts within the crypto and web3 ecosystem
- EFers need to annually update their internal conflict disclosures to EF leadership
- This policy applies to all full and part-time EFers, including contractors and employees
- However, this policy does not apply to EF interns, fellows, grantees, or certain advisory roles