During an episode of the Up Only podcast, Vitalk Buterin gave a play-by-play of the intricacies of securely sending Ethereum and SHIB.
Just how easy is it to get rid of nearly $7 billion worth of a cryptocurrency that you don’t want? Probably a lot harder than you might think, according to Ethereum co-founder Vitalik Buterin.
During a visit to the UpOnly Podcast yesterday, Buterin discussed several topics throughout the course of an almost two-hour interview with hosts Cobie and Ledger, including the time that Buterin dumped $6.7 billion (at one point worth much more than that) in SHIB tokens.
Shiba Inu, or SHIB, is a Dogecoin-inspired, Ethereum-based meme token that surged in value over the last year. At one point last year, SHIB was up by more than 40,000,000%, according to data from CoinGecko, making those who invested early in the cryptocurrency very rich within a very short period of time.
Last May, anonymous developers gifted Buterin 50% of the total supply of SHIB tokens, bringing the total held by Buterin to around 505 trillion SHIB, or roughly $8 billion at the time. The developers did this because they thought sending the tokens to Buterin would effectively burn the tokens (i.e. take them out of circulation), decreasing supply and increasing demand.
Later that month, Buterin sent SHIB and other crypto donations he received to various charities, including 50 trillion SHIB, around $1.2 billion at the time, to the India Covid Crypto Relief Fund. Buterin then burned about 90% of his remaining SHIB tokens. Why? “I don’t want to be a locus of power of that kind,” he said in a note attached to one of the transactions at the time.
But exactly how Buterin got rid of those tokens is arguably just as interesting as the who and why.