How Ethereum Ecosystem Projects Should Align with Ethereum

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The Ethereum ecosystem thrives on diversity—client teams, researchers, Layer 2 (L2) developers, application builders, and local community groups all contribute unique visions to the network's evolution. However, this decentralization brings a critical challenge: ensuring that these independent efforts coalesce into a unified, interoperable ecosystem rather than fragmenting into isolated silos.

To address this, many in the Ethereum community have embraced the idea of "Ethereum alignment"—a framework guiding how projects can meaningfully contribute to the broader network. Originally vague and prone to social capture (e.g., "alignment" being equated with personal connections), the concept now calls for clearer definition. By breaking alignment into measurable attributes, we can foster a more transparent, merit-based ecosystem.

This article explores the key pillars of Ethereum alignment—open source development, open standards, decentralization and security, and positive-sum impact—and how they can be operationalized across diverse project types.


Open Source: Building Transparent Foundations

At the heart of Ethereum’s ethos is transparency. Open source software enables two crucial benefits:

  1. Security through visibility: Code can be audited by anyone, reducing hidden vulnerabilities.
  2. Permissionless innovation: Developers can build upon, improve, or fork existing tools without gatekeepers.

While not every component of an application needs full disclosure (e.g., front-end design assets), core infrastructure—such as protocol logic, smart contracts, or consensus mechanisms—must be open source.

The gold standard here aligns with the Free Software Foundation (FSF) and Open Source Initiative (OSI) definitions. Projects should publish their code under permissive licenses (e.g., MIT, GPL) and maintain public repositories with active contribution channels.

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Open Standards: Enabling Interoperability

For Ethereum to function as a cohesive ecosystem, projects must adhere to shared technical standards. These include:

When a project introduces novel functionality not covered by existing standards, it should collaborate with the community to propose new Ethereum Request for Comments (ERC). This ensures future compatibility and prevents fragmentation.

Wallets, explorers, and dApps can then be evaluated based on their ERC compliance score, creating a transparent benchmark for integration readiness.

For example, a wallet supporting account abstraction and session keys via ERC-4337 offers greater usability and security than one relying solely on legacy key management.


Decentralization and Security: Measuring Resilience

True decentralization isn’t just ideological—it’s operational. Two practical tests help assess a project’s resilience:

1. Walk-Away Test

If the core team vanished tomorrow, would the system continue functioning?
A passing project operates autonomously via smart contracts, decentralized governance, or permissionless nodes.

2. Insider Attack Test

What damage could the development team inflict if they turned malicious?
Minimal control—such as time-locked upgrades or multi-sig governance—reduces this risk.

A formalized framework like L2beat’s Rollup Stages provides a clear progression model:

Two years ago, early-stage rollups with centralization "training wheels" were acceptable. Today, achieving at least Stage 2 should be the baseline expectation for any serious L2.


Positive-Sum Impact: Creating Shared Value

Alignment isn’t just technical—it’s ethical and economic. A well-aligned project generates value beyond its immediate user base.

Positive-Sum for Ethereum

Projects should benefit the broader Ethereum community—including ETH holders and users—even if they don’t directly participate in the project. Key indicators include:

For instance, an L2 that burns a portion of transaction fees in ETH strengthens demand for the asset while aligning incentives across layers.

Positive-Sum for the World

Ethereum’s mission extends beyond crypto. It aims to:

Aligned projects reflect this vision by:

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Toward a Measurable Framework for Alignment

No single metric fits all projects. A decentralized social media app will prioritize different aspects than an L2 or wallet. But over time, we can develop modular assessment frameworks, similar to L2beat, that evaluate projects across multiple dimensions:

Such dashboards empower users, investors, and grant providers to make informed decisions—without relying on social clout or insider access.

The Ethereum Foundation funds initiatives like L2beat but should not become the sole arbiter of alignment. Instead, multiple independent evaluators should emerge organically, creating a checks-and-balances system akin to separation of powers.

This approach ensures that alignment remains:


Frequently Asked Questions (FAQ)

Q: What does “Ethereum alignment” actually mean?
A: It refers to how well a project supports Ethereum’s core values—openness, decentralization, interoperability, and shared benefit—through technical design, economic incentives, and community contribution.

Q: Do all parts of my app need to be open source?
A: Not necessarily. While branding or UI assets may remain proprietary, core protocol logic and smart contracts must be open source to ensure trustlessness and auditability.

Q: How can small teams meet high decentralization standards?
A: Start with verifiable milestones. Use multi-sig wallets, publish upgrade timelines, and engage with frameworks like L2beat to demonstrate progress—even if full decentralization takes years.

Q: Is using ETH as a token enough for alignment?
A: It helps, but it’s not sufficient. True alignment also requires open standards adoption, resistance to censorship, and contributions to ecosystem-wide public goods.

Q: Who decides what counts as “aligned”?
A: No single entity should. Instead, independent organizations (like L2beat or Blockscout) can provide transparent scoring systems. Communities then choose which metrics matter most.

Q: Can non-crypto projects be Ethereum-aligned?
A: Yes—if they use Ethereum-based tools (e.g., decentralized identity, verifiable credentials) to solve real-world problems and contribute back to shared infrastructure.


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By defining alignment through clear, measurable criteria, we shift from subjective social games to objective evaluation. This empowers builders to innovate freely while ensuring their work strengthens the entire ecosystem—not just their corner of it.

As Ethereum evolves, so too must our tools for measuring contribution. With more transparency, better standards, and community-driven accountability, we can create an ecosystem that is truly open, resilient, and beneficial for all.