Vitalik Buterin Dumps Dogecoin Clone Tokens

Ethereum co-founder Vitalik Buterin has sold off large amounts of the Shiba Inu (SHIB), AKITA (AKITA) and Dogelon Mars (ELON) that were gifted to him, and donated the proceeds to charitable organisations.

Initially, the founder of the second-largest cryptocurrency sent 49.3 trillion AKITA (more than $400 million at the time of the transaction) to the Gitcoin address, a platform for open-source software development.

The next step for Buterin was transferring more than 50 trillion SHIB (over $1 billion) to a fund to combat the COVID-19 pandemic in India. It was founded by Sandeep Nailwal, the developer of an Ethereum-layer-2 solution called Polygon. On April 26, Buterin donated $600,000 in cryptocurrency to this fund.

Thanks @VitalikButerin

One thing we have learnt from Ethereum and @VitalikButerin is importance of community

We will not do anything which hurts any community specially the retail community involved with $SHIB

We will act responsibly!

Plz dont worry $SHIB holders. https://t.co/M4GxTR0JAn

— Sandeep — Polygon(prev Matic Network) (@sandeepnailwal) May 12, 2021

Recipients also included GiveWell, the Methuselah Foundation and the Machine Intelligence Research Institute. Buterin transferred to them the proceeds from the sales of meme tokens . To do this, he conducted trades in liquidity pools with these assets on Uniswap. He also used his Coinbase wallet.

Vitalik is starting to dump dog tokens. https://t.co/9R4zwQ6bS3 pic.twitter.com/8C6NeYwd3y

— Larry Cermak (@lawmaster) May 12, 2021

LOOOOL, @VitalikButerin removed liquidity from the SHIB pool https://t.co/HBTidpRPXK pic.twitter.com/LHBNNePekK

— Igor Igamberdiev (@FrankResearcher) May 12, 2021

The meme token creators stated in the white paper that they conducted a partial “burn,” sending Buterin half of the supply. Specifically, his public wallet held 505 trillion SHIB (at the time worth over $13 billion).

The consequence of Buterin’s moves was a collapse in meme-token prices. The lesser-known ones nearly or completely lost value.

According to CoinGecko, at the time of writing SHIB was down 41.5% over the 24-hour period, AKITA down 56%, ELON down 66.4%. From their peaks they have retreated by 51.5%, 66.3% and 79.3%, respectively.

It is possible that Buterin’s moves were aimed at normalising the fee situation, which had reached new all-time highs due to the meme-token hype.

One user paid $1,651 in gas fees to send a message to Buterin: “Fuck Vitalik”.

Someone spent $2k ($1,651 in $eth gas fees) just to send Vitalik a message that says “Fuck Vitalik” pic.twitter.com/pUSvPMRncp

— Dunny 🦦 (@DunnyInvests) May 12, 2021

On May 3, 2021, Buterin entered the ranks of billionaires after Ethereum surpassed the $3,000 mark.

Earlier, a user made $2 billion from 37 ETH thanks to the Shiba Inu rally.

Subscribe to ForkLog news on Facebook!