Ethereum Co-Founder Vitalik Buterin’s Address Sells Trillions of Airdropped Tokens, Causes Illiquid Coin Prices to Plummet

On March 7, onchain observers noticed that Vitalik Buterin, the co-founder of Ethereum, had allegedly sold billions and trillions of airdropped ERC20 tokens, resulting successful a summation of an estimated $700,000 successful value. The marketplace liquidity of the airdropped tokens was shallow, and the comparatively chartless ERC20 tokens plummeted successful worth aft Buterin reportedly sold the funds.

Crypto Speculators Question Motives Behind Vitalik Buterin’s Airdropped Token Sell-Off

According to a record of token transfers associated with an code labeled “VB,” Vitalik Buterin, the co-founder of Ethereum, appears to person sold a important magnitude of ERC20 tokens that were airdropped to his address. Blockchain explorer statistics amusement that the code associated with Buterin sold billions of cult dao (CULT) tokens, billions of MOP, billions of kiboshib (KIBSHI), trillions of dingo (DINGO), and trillions of shikoku (SHIK) tokens. An onchain ocular from Arkham Intelligence besides shows that different unknown, low-liquidity coins from chains similar the Binance Smart Chain (BSC) were besides sold.

Onchain observers noted that the code associated with Buterin was selling tokens with debased liquidity and tiny marketplace capitalizations during the people of the day. The blockchain information and information analytics institution Peckshield besides reported connected the sold tokens originating from the wallet associated with Buterin. Peckshield noted that the terms of shikoku (SHIK) dropped 95.8% against the U.S. dollar. Some token supporters complained that Buterin willingly caused the terms of these coins to drop, portion others argued that it was Buterin’s funds, and helium could bash immoderate helium wanted with them.

“Not definite what you guys expected, his wallet, his money, LOL,” 1 idiosyncratic said.

Some speculated that Buterin whitethorn person sold the airdropped tokens for taxation compliance purposes. “Seems similar a unusual move, helium is much than alert this would vessel prices and drain liquidity,” 1 Twitter idiosyncratic said. “My presumption is that his accountant warned him these tokens would number arsenic income connected his taxation sheet. Selling to screen the expense.”

Others criticized Buterin’s decision, suggesting that the coins could person been sent to a pain code to destruct them instead. In May 2021, Buterin donated $1 billion worthy of shiba inu (SHIB) tokens to India’s Crypto Covid Relief Fund foundation aft being talented the tokens during the token’s launch.

Coincidentally, pursuing Buterin’s merchantability of low-liquidity ERC20 tokens, the Balvi Filantropic Fund, co-founded by Ethereum’s creator, donated $15 cardinal successful USD Coin (USDC) to the University of California San Diego. The donated funds volition beryllium utilized to probe and survey airborne pathogens. Kimberly Prather, a UC San Diego atmospheric chemist and professor, expressed gratitude to Buterin and the Balvi Fund for their donation successful stablecoins.

What bash you deliberation astir Vitalik Buterin’s merchantability of the airdropped tokens? Share your thoughts successful the comments conception below.

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