Polygon’s Nailwal Bashes the Ethereum Community, Buterin Steps In With Surprising Praise

“Ethereum Elite” is under fire because of concentrated control, perceived underpayment of top contributors, and governance issues highlighted by a core dev’s revelations.

Ethereum co-founder Vitalik Buterin stepped in following public remarks from Polygon co-founder Sandeep Nailwal, as he attempted to provide an acknowledgment of both the project and its leadership.

Nailwal expressed frustration with Ethereum’s community, but said he remained loyal, even as he faced criticism over Polygon’s classification.

Inside Ethereum Power Struggles

In response, Buterin highlighted the contributions of Polygon and Nailwal personally, describing the project as more than a “not just boring finance app.” He gave a shoutout to Polygon’s Layer 2 work and said that it has made Ethereum stronger.

The Ethereum co-founder’s acknowledgment came amid Nailwal’s candid reflections about the social and market pressures surrounding Polygon. Nailwal spoke about the difficulty of categorizing Polygon as a Layer 1 or Layer 2, and pointed out how such distinctions influence market perception and valuation.

He described being called out by stakeholders for not labeling Polygon a Layer 1, despite the chain’s deep integration with Ethereum. Nailwal also alluded to moments of personal conflict, while noting that navigating the Ethereum community had felt like a “shit show” at times, while simultaneously expressing respect for Buterin as someone he “looked up to as an ideal for how things should be built in this world.”

Ethereum Elite Under Fire

Nailwal’s response comes after Ethereum core developer Péter Szilágyi published a lengthy letter he first shared privately with Ethereum Foundation (EF) leadership in May 2024. In it, Szilágyi outlined long-standing frustrations with governance, compensation, and the emergence of an Ethereum “elite” that ultimately answers to Buterin. He described feeling like a “useful fool,” caught between loyalty to Ethereum and personal dissatisfaction, and criticized the perceived dissonance between public portrayals of his leadership role and how responsibilities were handled internally.

Szilágyi highlighted compensation issues and mentioned that underpayment created incentives for top contributors to explore opportunities elsewhere, which ended up opening space for concentrated influence among high-profile insiders. While he said that Ethereum remains a powerful protocol, these structural and social dynamics create ongoing challenges for long-term contributors navigating recognition, opportunity, and principle within the network.

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“Do I find Ethereum fixable? No, not really. I don’t see how any of this can be reversed. I feel the Foundation blew allegiance to it beyond reversal. I feel Vitalik – with all his good intents – created the ruling elite who will never relinquish control anymore, so you either play ball or you get sidelined (at least they pay well apparently). As for Geth, I feel we are considered a problem in the grand scheme of things in Ethereum – myself at the centre of that problem – so I don’t really see a bright future for myself with my pushbacks against the issues I see.”