The following open letter was written by Dan Boneh (Stanford), Joseph Bonneau (NYU), Giulia Fanti (Carnegie Mellon), Ben Fisch (Yale), Ari Juels (Cornell), Farinaz Koushanfar (U.C. San Diego), Andrew Miller (University of Illinois at Urbana Champaign), Ciamac Moallemi (Columbia), David Tse (Stanford), Pramod Viswanath (Princeton).
Here’s a multiple-choice question:
Companies/Projects:
Algorand, Arbitrum, Avalanche, Axelar, Babylon, Cardano, Cosmos, Eigenlayer, Espresso, Flashbots, Oasis, Starkware, Sui.
Concepts:
Byzantine Fault Tolerant (BFT) protocols, digital signatures, formal verification, maximal extractable value (MEV), public-key cryptography, proof of work, rollups, trusted execution environments (TEEs), verifiable random functions (VRFs), zero-knowledge proof systems.
Which statement is true?
A) They were invented by academic researchers.
B) They transformed the crypto industry.
C) They highlight academia’s role in crypto innovation.
D) All of the above.
Answer: D. These innovations emerged primarily from U.S. universities.
The U.S. Government’s Role in Crypto
The White House and Congress are pushing to solidify U.S. leadership in crypto:
- Presidential Working Group on Digital Asset Markets established.
- Pending legislation: GENIUS and STABLE bills.
While regulatory progress is commendable, proposed 55% cuts to NSF funding (2025 budget) threaten the academic research fueling crypto breakthroughs. Meanwhile, China increased research spending by 10% last year.
The Innovation Pipeline at Risk
We are U.S.-based academic researchers training the next generation of crypto leaders. Key concerns:
- PhD student decline: Funding uncertainty limits new admissions.
- Industry impact: PhDs found companies (e.g., Algorand, Starkware) and drive R&D.
- Education quality: Research enhances teaching, producing stronger technical leaders.
👉 Why Academic Funding Matters for Crypto’s Future
Conclusion
Policy alone won’t secure U.S. crypto leadership. Science—powered by universities—is the backbone of innovation. Cutting research funding is like burning seedcorn: no machinery (regulation) can replace it.
Call to Action:
Contact Congress. Advocate for NSF funding to maintain America’s edge in blockchain technology.
FAQ Section
1. How does academic research impact crypto?
It originates core technologies (e.g., ZKPs, rollups) and trains founders/R&D leaders.
2. Why is NSF funding critical?
It supports non-product-specific CS research, unlike limited corporate grants.
3. What’s the risk of funding cuts?
Thinned PhD pipelines mean fewer startups and slower technical progress.
4. How does China’s approach differ?
Aggressive research budget increases (+10%) aim to surpass U.S. innovation.
5. Can regulation replace research?
No. Policy enables markets; science creates the tech driving them.
Authors:
- Dan Boneh (Stanford; advisor to a16z crypto).
- Joseph Bonneau (NYU; ex-Zcash/Algorand advisor).
- Giulia Fanti (CMU; IC3 co-director).
- Ben Fisch (Yale; Espresso Systems co-founder).
- Ari Juels (Cornell; Chainlink Labs CSO).
- Farinaz Koushanfar (UCSD; Chainlink Labs researcher).
- Andrew Miller (UIUC; Flashbots[X] co-director).
- Ciamac Moallemi (Columbia; blockchain advisor).
- David Tse (Stanford; Babylon co-founder).
- Pramod Viswanath (Princeton; Sentient contributor).