Ethereum (ETH) co-founder Vitalik Buterin dumped several unsolicited altcoins (sh*tcoins) during the early hours of March 7, leading to the value of these assets falling.
On-chain analyst Lookonchain reported that Buterin sold 50 billion MOPS, 500 trillion SHIK, and 10 billion CULT tokens for 439.25 ETH.
Blockchain security firm PeckShield corroborated this report and added that the ETH co-founder sold 3.4 million BITE tokens for 4.9 ETH. The firm said Buterin deposited 214 ETH to an EthDev address.
Despite his sales, Etherscan data showed that Buterin still holds 666 SHIK and 10 billion CULT tokens.
Meanwhile, the tokens sold by Buterin are considered shitcoins, i.e., low-quality projects with little to no real value outside speculation. Due to Buterin’s popularity in crypto, several projects send free tokens to his public address to buy free publicity and legitimacy from community members.
Buterin dumping tank value
Buterin sales have tanked the value of these tokens, according to dexscreener data. Per the data, BITE is down by 7%, CULT fell by 7.5%, and SHIK decreased by 60%.
However, MOPS is an exception. The token rose by 216% in the last 24 hours despite Buterin’s dumping.
This is not the first time that Buterin has dumped the coins sent to his address. A notable instance was when he burnt 90% of the 500 trillion Shiba Inu (SHIBA) tokens sent to his wallet. He also donated $1 billion worth of the tokens to the India COVID fund.
In another case, he donated all the AKITA tokens sent to his wallet to Gitcoin’s community Multi-Sig.
Community debates Buterin’s action
Several crypto community members have speculated why Buterin was selling the tokens. Some argued that he was selling due to the bear market situation, while some think he was selling because he wanted to avoid the tokens counting as income on his tax sheet.
Meanwhile, crypto influencer and HEX token creator Richard Heart joked that Buterin shouldn’t sell the 15 HEX tokens in his wallet.
Interestingly, of the tokens involved in Buterin’s sell-off, CULT DAO had a major presence at the recent ETHDenver conference, with one of the largest areas by floor space of any project. The DAO also spoke on the main stage, focusing on public good and privacy. As of press time, there has been no statement from the DAO on Buterin’s token dump.
Is MicroStrategy undervalued?
CryptoSlate’s latest market report takes a deep dive into MicroStrategy and its holdings to determine whether the Bitcoin pioneer could see its stock price skyrocket.
