Ethereum core devs could double their salaries at other blockchains

A version of this article appeared in our The Decentralised newsletter on September 16. Sign up here.

Apparently, it doesn’t pay to be an Ethereum developer.

Software developers who work to maintain and improve the Ethereum blockchain earn a median salary of $140,000, according to a new survey.

It’s not bad — until you consider what they could be making elsewhere.

Ethereum core developers who had the opportunity to jump ship were offered median salaries of $300,000, or more than double what they’re currently paid to improve the world’s preeminent smart contract blockchain, according to Protocol Guild’s survey.

Ethereum is maintained by a distributed group of software developers. Many work for the Ethereum Foundation, which sat on more than $970 million in crypto and other assets as of last October.

But a lot of them work for other crypto companies that employ Ethereum core developers as a gesture of goodwill.

Of an estimated 200 to 300 Ethereum core developers, 190 are Protocol Guild members, and 111 responded to the organisation’s survey.

The results were bleak: in addition to a median salary of $140,000, only 37% of respondents received any equity or token grants from employers. In other words, they don’t get the financial upside many expect when going into tech.

For comparison’s sake, an entry-level employee at Coinbase earns a base salary of $150,000 and an additional $56,000 in stock and bonuses each year, according to Protocol Guild.

To be sure, Coinbase is a US company, and presumably many respondents in the Protocol Guild survey are based in nations where salaries are lower.

Moreover, Protocol Guild works to supplement developer’s income with tokens donated by Ethereum-based projects. It claims to have distributed more than $33 million since 2022.

But 38% of respondents said they received job offers in the past year — mostly from other blockchains, including layer 2 blockchains in the Ethereum ecosystem. As noted above, they were offered a median salaries of $300,000.

This isn’t just about getting developers their due, according to Protocol Guild. Lower compensation means that the best and the brightest don’t have an incentive to work on Ethereum itself.

In the extreme, this risks slowing down upgrades and making “core devs more susceptible to payments for influence,” the report reads.

Top DeFi stories of the week

This week in DeFi governance

VOTE: Rocket Pool votes to fund core development team

VOTE: World Liberty Financial votes on buyback and burn program

VOTE: Mantle votes to fund core development team

Post of the week

Hackers affiliated with North Korea have a knack for infiltrating crypto companies as remote workers and making off with customer funds. Companies are wary — but there are ways to show a potential employer you can be trusted.

Aleks Gilbert is DL News’ New York-based DeFi correspondent. Got a tip? Email at aleks@dlnews.com.