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the-ethereum-roadmap-merge-surge-verge
Blog

How EIPs Fail Inside Ethereum Governance

A cynical autopsy of Ethereum's EIP process. We trace the systemic failures—from political capture and client diversity theater to roadmap myopia—that turn brilliant proposals into governance graveyards.

introduction
THE PROCESS

The Governance Graveyard

Ethereum Improvement Proposals (EIPs) fail due to a complex interplay of technical debt, political friction, and misaligned incentives.

Technical debt dominates the agenda. Core developers spend over 80% of their cycles maintaining the existing protocol, leaving minimal bandwidth for new EIPs. This creates a massive backlog where proposals like EIP-3074 (sponsored transactions) languish for years.

Client diversity creates political friction. A single client team like Geth or Nethermind can veto any change by refusing implementation. This de facto veto power forces consensus-building that often dilutes or kills ambitious proposals, as seen with early sharding designs.

The All Core Devs call is a bottleneck. This single, informal weekly meeting is the sole coordination point for all protocol changes. The lack of parallel tracks means niche EIPs compete with critical network upgrades for the same scarce airtime.

Evidence: The Ethereum Magicians forum archives contain over 300 abandoned EIPs. Major proposals like EIP-867 (standardized refunds) were formally withdrawn after 3+ years of discussion, demonstrating the systemic execution risk.

thesis-statement
THE GOVERNANCE FAILURE

Core Thesis: EIPs Die from Political Capture, Not Technical Merit

Ethereum Improvement Proposals fail due to stakeholder power struggles, not because of flawed engineering.

Client diversity is a political weapon. Core developers at Geth, Nethermind, or Erigon wield veto power by refusing to implement changes. This creates a client-implementation cartel that prioritizes client stability and their own development roadmaps over network-wide upgrades.

The DAO Fork established a precedent. The 2016 hard fork to recover funds proved social consensus overrides code. This created a permanent expectation that powerful stakeholders—exchanges, stablecoin issuers, large validators—can and will intervene to protect capital, setting the stage for all future governance battles.

Layer 2s create competing power centers. Protocols like Arbitrum, Optimism, and Starknet now command larger ecosystems and revenues than many core EIPs. Their economic gravity distorts governance, as changes affecting their business models (e.g., gas pricing, precompiles) face organized, well-funded opposition.

Evidence: The ProgPoW Saga. The technically sound Proposal to resist ASIC mining died after years of debate. Opposition from large mining pools (like Spark Pool) and indecision from the Ethereum Foundation showcased how economic incumbents paralyze progress, regardless of the proposal's technical merits.

FAILURE MODES

EIP Autopsy: From Proposal to Graveyard

A comparative analysis of the primary failure vectors for Ethereum Improvement Proposals (EIPs), from initial concept to final status.

Failure VectorTechnical ComplexityGovernance GridlockCommunity ApathySuperseded by Better Design

Avg. Time to Abandonment

18-24 months

6-12 months

3-6 months

< 3 months

Primary Choke Point

Core Dev Review

All Core Devs Call

Ethereum Magicians

EIP Editors

Requires Client Implementation

Typical Proposer

Protocol Researcher

Application Developer

Independent

Core Dev Team

Example EIP

EIP-2537 (Diamonds)

EIP-867 (Standardized Recovery)

EIP-5003 (MULDIV)

EIP-1057 (ProgPoW)

Key Metric: Avg. All Core Devs Mentions

45

120

8

25

Can be Revived via ERC?

Likelihood of Fork if Forced

High

Extreme

None

Medium

deep-dive
THE PROCESS

The Slippery Slope: How the Process Itself Ensures Failure

Ethereum's EIP process is a consensus machine that optimizes for social agreement over technical merit, systematically filtering out disruptive changes.

Social consensus supersedes technical merit. The All Core Devs (ACD) calls are the primary gate, where proposals face immediate scrutiny from client teams like Nethermind and Geth. A single objection from a major client is a veto, prioritizing network stability over innovation.

The burden of proof is asymmetric. Proponents must provide exhaustive specifications, audits, and testnets, while opponents need only voice a vague concern about complexity or risk. This creates a high-friction environment where only incremental, non-controversial changes succeed.

Compare this to competitor governance. Solana's rapid upgrade path via validator votes and Cosmos' app-chain sovereignty demonstrate that protocol ossification is a choice. Ethereum's process is a feature for its store-of-value narrative, not a bug.

Evidence: The EIP-3074 (batch transactions) saga. A technically sound proposal languished for years due to concerns over its interaction with account abstraction (ERC-4337), showcasing how coordination overhead kills momentum even for widely supported ideas.

counter-argument
THE PROCESS

Steelman: Isn't This Just Necessary Caution?

Ethereum's governance, while slow, is a deliberate mechanism to prevent catastrophic failures by rigorously testing changes.

Deliberate speed prevents catastrophe. The EIP process's glacial pace is a feature, not a bug. It forces multi-client coordination across Geth, Nethermind, and Erigon, ensuring consensus logic is bulletproof before mainnet deployment.

Formal verification is non-negotiable. Core EIPs, especially those touching the EVM or consensus, require exhaustive formal modeling. This process, championed by teams like Consensys Diligence, catches flaws that fuzzing and testnets miss.

Client diversity is the ultimate backstop. The requirement for multiple independent implementations (e.g., Prysm, Lighthouse, Teku for consensus) creates a natural circuit breaker. A bug in one client does not halt the network, as seen in past incidents.

Evidence: The Merge succeeded. This unprecedented, live upgrade of a $200B+ system executed flawlessly because of this exact caution. Every step, from shadow forks to final client releases, was governed by this meticulous EIP process.

case-study
HOW EIPS DIE IN COMMITTEES

Anatomy of a Failure: EIP-3074 and the AUTH/AUTHCALL Saga

The story of EIP-3074 reveals the brutal reality of Ethereum governance, where a popular, near-finished upgrade was killed by a single, unresolved security objection.

01

The Problem: Externally Owned Accounts (EOAs) Are Dumb

Pre-EIP-3074, EOAs were a major UX bottleneck. They couldn't batch transactions, sponsor gas, or recover from errors, forcing users into cumbersome smart contract wallets. This created a massive adoption friction for millions.

  • No native batching for multi-step DeFi actions
  • Gas abstraction impossible, requiring users to hold ETH
  • Account recovery locked behind complex social schemes
~90%
Of Users on EOAs
10+ Steps
Typical DeFi UX
02

The Solution: AUTH & AUTHCALL Opcodes

EIP-3074 proposed two new EVM opcodes to delegate EOA control to a smart contract (an 'invoker'). This was a backwards-compatible path to smart account functionality without migrating assets.

  • AUTH: Creates a cryptographic signature for a future call
  • AUTHCALL: Executes the call with the EOA's authority
  • Enables: Gas sponsorship, batch transactions, session keys
1 Tx
For N Actions
$0 Gas
For User (Sponsored)
03

The Fatal Flaw: The 'Blank Check' Attack Vector

The core security objection, led by Vitalik Buterin and Tim Beiko, centered on unbounded authority delegation. An AUTH signature could grant an invoker permanent, unlimited control over an EOA's assets if misused.

  • No native revocation mechanism built into the EIP
  • Contradicted Ethereum's 'explicit consent' design philosophy
  • Created systemic risk for wallet providers and users
Infinite
Delegation Scope
0
Native Revokes
04

The Political Kill: ERC-4337 & Account Abstraction

The competing standard, ERC-4337, offered a more secure, contract-native path via UserOperations and a global mempool. The Core Devs chose the architecturally pure solution over the pragmatic, incremental EIP-3074.

  • No EVM changes required, deployed as a smart contract system
  • Explicit per-operation intent, eliminating blank checks
  • Aligned with the long-term 'Verkle tree' roadmap
~2M
4337 Accounts (to date)
0
Protocol Risk
05

The Governance Lesson: Security Primitives > UX Primitives

Ethereum's governance prioritizes security and architectural coherence over immediate UX gains. A proposal can have widespread developer support (see Uniswap, OpenZeppelin) and solve a real problem, but will be blocked by a fundamental security objection from core architects.

  • 'Worse is better' pragmatism often loses
  • Single veto points (e.g., client teams) hold ultimate power
  • Long-term roadmap alignment is non-negotiable
1
Fatal Objection
3+ Years
Development Wasted
06

The Aftermath: Rise of the 'Intent' Paradigm

The failure of EIP-3074 accelerated the industry shift towards intent-based architectures, where users declare what they want, not how to do it. This is seen in UniswapX, CowSwap, and Across Protocol.

  • Solves the same UX problem (gas, batching) at application layer
  • Leverages off-chain solvers for efficiency
  • Proves that core protocol upgrades for UX are politically untenable
$10B+
Intent Volume
0 EIPs
Required
future-outlook
THE GOVERNANCE FAILURE

The Fork in the Road: Fragmentation or Reform?

Ethereum's EIP process is a bottleneck that incentivizes protocol-level forks and client fragmentation.

Ethereum Improvement Proposals (EIPs) move glacially. The core development bottleneck is not technical but political. The All Core Developers (ACD) calls prioritize consensus stability over innovation, creating a multi-year backlog for non-critical upgrades.

This delay forces innovation into forks. Projects like Polygon, Arbitrum, and Optimism implement their own precompiles and opcodes (e.g., BLS precompile) because the mainnet process is too slow. This is the de facto fragmentation of the Ethereum execution layer.

The alternative is client-level reform. A rollup-centric roadmap demands faster, modular client development. Teams like Reth (Paradigm) and Erigon are building for speed, but they still answer to the ACD committee for protocol changes.

Evidence: The EIP-4844 (Proto-Danksharding) process took over 18 months from conception to mainnet. Meanwhile, zkSync Era and Starknet implemented custom fee markets and state models years ago.

takeaways
HOW EIPS FAIL

TL;DR for Protocol Architects

Ethereum's governance is a minefield of social consensus, client diversity, and economic incentives. Here's what kills proposals.

01

The Client Diversity Veto

A single client team (e.g., Geth, Nethermind, Erigon) can stall or kill an EIP by refusing implementation. This is the ultimate technical veto power, often exercised over security or complexity concerns.

  • Key Risk: Centralization of power in ~5 major client teams.
  • Example: Post-Merge complexity stalled early Verkle tree proposals.
~5 Teams
Holds Veto
>60%
Geth Dominance
02

The Social Consensus Black Hole

Core developers prioritize rough consensus over formal voting. Endless debates on forums (Ethereum Magicians, All Core Devs calls) can drain momentum without a clear 'no'.

  • Key Risk: Proposals die from exhaustion, not rejection.
  • Tactic: Proposers must lobby client teams and influential community figures like Vitalik Buterin or Tim Beiko.
Months→Years
Discussion Time
0 Formal Votes
Governance Mechanism
03

Economic Incentive Misalignment

EIPs that threaten the revenue of major staking pools, L2s, or MEV searchers face organized opposition. Changes to proposer-builder separation (PBS) or staking economics are particularly contentious.

  • Key Risk: $100B+ in staked ETH creates a powerful, conservative stakeholder bloc.
  • Example: Early MEV-boost redesigns were slowed by relay and builder operator pushback.
$100B+
Staked ETH at Risk
Major Pools
Lobbying Force
04

The Complexity Spiral

EIPs that require deep changes to the EVM or consensus layer (e.g., Verkle trees, stateless clients) face exponential integration risk. Each new dependency creates more testing surface and client coordination overhead.

  • Key Risk: Multi-year timelines cause EIP-4844 (blobs) to be prioritized over foundational upgrades.
  • Result: Technical debt accumulates while core scalability fixes are delayed.
2-5 Years
Upgrade Timeline
10+ Client Forks
Sync Risk
05

The Layer-2 Agenda Capture

Major L2s (Arbitrum, Optimism, zkSync) now influence the core protocol roadmap to suit their scaling needs. EIPs that don't align with the rollup-centric roadmap get deprioritized.

  • Key Risk: Ethereum becomes a settlement layer for L2s, sidelining improvements for mainnet dApps.
  • Force Multiplier: L2 teams are now core EIP contributors, steering development.
Top 5 L2s
Active Lobbyists
Rollup-Centric
Official Roadmap
06

The Spec-ification Graveyard

Many EIPs die in the Ethereum Improvement Proposal repository itself. They become stale, are superseded, or fail to achieve implementer interest. This is the silent, bureaucratic death.

  • Key Reality: Over 80% of EIPs never reach mainnet.
  • Trap: Architects waste cycles on elegant specs without securing client team buy-in first.
>80%
EIP Mortality Rate
Draft → Final
Biggest Filter
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Why EIPs Fail: The Hidden Governance Crisis in Ethereum | ChainScore Blog