TL;DR
- Ethereum core developers earn an average of $140,000, compared to market salaries that average $359,000.
- Protocol Guild has distributed over $33M since 2022 with contributions from projects like EigenLayer and Ether.fi, raising total compensation to $207,121.
- 40% have received offers from other blockchains with better packages; the lack of token or equity incentives threatens the retention of key talent.
Ethereum’s core developers, who maintain the network’s critical infrastructure, earn salaries far below market levels despite sustaining the world’s second-largest blockchain.
A report published by Protocol Guild, the collective that channels funding to around 190 contributors, showed that average compensation stands at $140,000, compared to external offers around $300,000 and averaging $359,000. The gap reaches 60%, highlighting the challenge of retaining talent in a market where competition among networks for specialized engineers is intense.
Competition Among Blockchains
The survey, which gathered responses from 111 members across 11 teams, is the most comprehensive snapshot to date of compensation within Ethereum’s core ecosystem. Only 37% of respondents receive any type of token or equity grant, an incentive common in startups and exchanges. The majority receive no such benefits, creating a stark contrast with the rest of the industry. One developer even admitted to turning down a $700,000 package to remain in the ecosystem, despite the steep income cut.
Protocol Guild seeks to narrow the gap through community-driven contributions. Since 2022, it has distributed over $33 million, mainly from projects that donated 1% of their token supply, including EigenLayer, Ether.fi, Taiko, and Puffer. These funds are distributed on-chain with four-year vesting, providing predictability. Over the past year, the median compensation developers received through this channel was $67,121. Adding this to base pay brought overall average compensation to $207,121, still well below what direct competitors offer.
Could Ethereum Stop Working?
The study also revealed internal differences. Researchers reported the highest median pay at $215,000, while client developers and coordinators earned around $130,000. By experience, those with seven to eight years in the industry earned $212,000, but those with nine or more years dropped to $150,000.
This disparity creates concrete risks. Nearly 40% of respondents received formal offers from other employers over the past year, many from rival blockchains with greater financial capacity. A large-scale departure could slow Ethereum’s upgrade roadmap and weaken team continuity.
Even so, many Ethereum contributors remain motivated by the goal of sustaining a decentralized and censorship-resistant network, even if it means earning less. Protocol Guild warned that without more stable funding solutions, Ethereum risks losing the very people who make its operation possible
