Ethereum (ETH) has been the centerpiece of the most recent Ethereum price recovery. Companies such as BitMine (BMNR) and Sharplink Gaming (SBET) are leading the charge. While the Ethereum Foundation has long been seen as the guiding force, the growing influence of these entities, led by figures like Tom Lee and Joseph Lubin, raises questions about the future of ETH and its decentralization. Is it Tom Lee or Joseph Lubin who is REALLY responsible for the ETH pump? This article dives into the different backgrounds and motivations of these major players and how those factors shaped Ethereum’s path to where we are now.
The Foundational Whitepaper
Ethereum’s roots can be traced back to its revolutionary whitepaper, which offered a new vision for blockchain and its applications. This paper provided the intellectual foundation for Ethereum to move beyond its origins. Through their ambiguous actions and active stewardship, the founders of Ethereum helped make it the second-largest cryptocurrency by market capitalization.
Overview of Ethereum's Vision
The Ethereum whitepaper, originally written by Vitalik Buterin, described a decentralized platform that could run smart contracts. This was a much broader vision than just Bitcoin’s initial use case as a digital currency. It set out to build a world computer that could host any number of decentralized applications (dApps). The whitepaper explained the technical architecture of the protocol. More specifically, it focused on the Ethereum Virtual Machine (EVM), which allows developers to deploy and run smart contracts.
Key Innovations Introduced
The Ethereum whitepaper introduced several key innovations that distinguished it from Bitcoin:
- Smart Contracts: These self-executing contracts automate agreements between parties, eliminating the need for intermediaries.
- Ethereum Virtual Machine (EVM): A runtime environment that executes smart contracts, enabling the development of complex dApps.
- Proof-of-Work (PoW) Consensus Mechanism: Initially, Ethereum used PoW to secure the network and validate transactions, similar to Bitcoin.
Joseph Lubin has been involved with the Ethereum development team since 2013. This was happening around the same time as Vitalik Buterin releasing the Ethereum whitepaper. He is perhaps best known as one of Ethereum’s eight co-founders. Lubin received a B.S.E. in electrical engineering and computer science from Princeton University in 1987. While at Princeton, he labored side by side with Michael Novogratz, who today is CEO of Galaxy Digital.
The ICO Surge and Transition to Proof of Stake
Ethereum’s advancements as a platform were greatly accelerated by the Initial Coin Offering (ICO) boom. Later, its transition to a Proof-of-Stake (PoS) consensus mechanism, dubbed “The Merge,” provided an additional boost to its evolution.
Impact of the ICO Boom on Ethereum's Growth
To clarify, the ICO boom of 2017-2018 consisted of thousands of projects that launched on the Ethereum platform, raising capital by selling tokens. This new wave of projects created an enormous demand for ETH, as holding ETH was a necessity to participate in these ICOs. The ICO boom created an environment for rapid growth and innovation within the Ethereum ecosystem, drawing developers and users to it like a magnet. It also brought with it increased regulatory scrutiny, worries over scams and unsustainable projects.
The Significance of the Merge
The Merge, which was finalized in September 2022, represents Ethereum moving from a Proof-of-Work (PoW) consensus mechanism to a Proof-of-Stake (PoS) one. This transition had several significant implications:
- Reduced Energy Consumption: PoS significantly reduced Ethereum's energy consumption, addressing environmental concerns associated with PoW.
- Increased Scalability: PoS paved the way for future scalability improvements, such as sharding, which aims to increase transaction throughput.
- New Economic Model: PoS introduced staking, allowing ETH holders to earn rewards for validating transactions, creating a new economic model for the network.
Challenges Faced by the Ethereum Foundation
Though the Ethereum Foundation has enjoyed many early successes, it has been plagued by a series of internal struggles and outside criticisms of centralization.
Internal Struggles and Their Implications
The Ethereum Foundation has been rife with infighting and power struggles. These conflicts have created confusion and led to costly development delays. These internal dysfunctions have led to very valid concerns over the Foundation’s capacity to lead a strongly guided Ethereum ecosystem. Critics have long contended that the Foundation’s authority must be lessened in order to encourage further decentralization and community engagement.
Community Response and Support
Whether these criticisms are justified or not, the Ethereum community still seems largely in favor of the Ethereum Foundation and its continued work. The Ethereum community knows all too well the positive impact the Foundation has had on the development and growth of the Ethereum ecosystem. At the same time, there’s an increasing interest in decentralization and community governance. Shifting Power Today, a number of initiatives are empowering active and prospective developers and users alike to better engage in decision-making processes.
Navigating Regulatory Landscapes and Gaining Institutional Support
Ethereum’s long-term prospects rely on its ability to thrive within the complex and constantly changing regulatory environment and to attract more institutional interest.
Current Regulatory Developments
Regulatory agencies across the globe are still trying to figure out whether and how cryptocurrencies, including ETH, should be classified and regulated. This absence of clear regulatory frameworks has introduced confusion and stymied broader institutional adoption. As summer turns to fall, things have changed — dramatically. The recently introduced CLARITY Act in the United States demonstrates similar momentum for clearer regulations in the digital asset market. The CLARITY Act in full, the CLARITY Act is the Digital Asset Market Clarity Act of 2025. This legislation was introduced by Republican Congressman J. French Hill from Arkansas.
Institutional Adoption Trends
Despite the regulatory uncertainty, enthusiasm from institutions towards Ethereum is quickly building. With firms such as BitMine and Sharplink Gaming now investing millions into ETH, it’s clear that the confidence in ETH’s long-term potential continues to grow. These investments and developments can only lead to massive increase in ETH price. They help drive institutional adoption, which in turn introduces greater stability and maturity to the market.
On May 27, 2025, SharpLink Gaming, a small publicly listed company, made headlines with a major announcement. On July 5th they signed a securities purchase agreement to raise $425M private placement to buy ETH first corporate treasury reserve asset. New York Stock Exchange-listed BitMine is making some aggressive moves to turbocharge its Ethereum treasury strategy. The company already has issued a call for $250 million to back this effort.
Future Prospects for Ethereum
Ethereum’s long-term outlook has never looked stronger, with key future upgrades and improvements slated to further enhance the network’s scalability, security, and overall usability.
Upcoming Upgrades and Features
Ethereum is constantly evolving, with several key upgrades and features planned for the future:
- Sharding: A scaling solution that divides the Ethereum blockchain into multiple shards, increasing transaction throughput.
- Layer-2 Scaling Solutions: Technologies like optimistic rollups and zk-rollups that process transactions off-chain, reducing congestion on the main Ethereum network.
- Account Abstraction: A feature that allows users to customize their Ethereum accounts, enabling features like social recovery and multi-signature wallets.
Potential Market Trends and Challenges
Tom Lee began focusing on the cryptocurrency space back in 2017. Since then, he has been providing sober-minded analysis and predictions on crypto market trends. He noted that Circle’s current valuation level makes this a promising start-up. So an ETH increasing all the way up to $15,000 is totally logical. Charles Hoskinson’s BITMINE corporation has risen to the top of the ETH leaderboards, and Tom Lee is still bullishly confident on ETH. During that time, between June 23 and 30, BitMine bought up 9,468 ETH. They invested $22.8 million, purchasing each ETH at an average price of $2,411.
- Increased Competition: Ethereum faces competition from other blockchain platforms, such as Solana, Cardano, and Polkadot, which offer alternative solutions for dApp development.
- Scalability Issues: Despite ongoing efforts to improve scalability, Ethereum may still face challenges in handling high transaction volumes, particularly during periods of peak demand.
- Regulatory Uncertainty: The evolving regulatory landscape could impact Ethereum's adoption and growth, depending on how regulations are implemented.
Today, Consensys has spawned dozens of familiar sub-projects such as the wallet application MetaMask and the popular Layer 2 network Linea. In the first decade after Ethereum’s birth, the Ethereum Foundation—of which Vitalik is one of several co-founders—possessed unquestionable discourse power. Now, as we look past that decade, new challengers such as BitMine and Sharplink Gaming are consistently racking in more ETH. As these new players like BitMine and Sharplink Gaming expand, they will undoubtedly introduce more centralization-related controversies.
BitMine and Sharplink Gaming have pushed Ethereum Foundation companies off the top of the list of companies that impact ETH prices the most. Their leaders, Tom Lee and Joseph Rubin are now regarded as the principal decision makers behind the bullish ETH price trend currently.
The different backgrounds and goals of Tom Lee and Joseph Lubin are a reminder of the changing tides in the Ethereum ecosystem. While Lee's focus on traditional finance and market analysis brings institutional investment and price appreciation, Lubin's emphasis on blockchain technology and decentralized applications fosters innovation and long-term growth. How these forces interact will determine what Ethereum will look like moving forward. Just as importantly, it will shape the state’s role in the wider digital economy.
The contrasting backgrounds and motivations of Tom Lee and Joseph Lubin highlight the evolving dynamics within the Ethereum ecosystem. While Lee's focus on traditional finance and market analysis brings institutional investment and price appreciation, Lubin's emphasis on blockchain technology and decentralized applications fosters innovation and long-term growth. Ultimately, the interplay between these forces will shape the future of Ethereum and its role in the broader digital economy.
