A Peek into the Crypto Carnival

Vitalik Buterin, co-founder of Ethereum and arguably one of the most notable figures in the cryptocurrency realm, recently made headlines for selling a mind-boggling amount of shitcoins. Spanning nearly $700,000 worth of tokens, Buterin’s antics during a token liquidation spree have certainly sparked conversations around the crypto community.

What Exactly Did He Sell?

According to the data from Etherscan, on March 7, Buterin became an unlikely high-stakes seller. He offloaded:

• 500 trillion SHIKOKU (SHIK) for 380.3 ETH (around $595,448)
• Nearly 10 billion Cult DAO (CULT) for 58.1 ETH (approximately $91,021)
• 50 billion Mops (MOPS) for 1.25 ETH (about $1,950)

These transactions undoubtedly left many scratching their heads in disbelief.

Cause and Effect: The Price Plummet

But here’s where the plot thickens: due to these low liquidity tokens, Buterin’s sales sent shockwaves through the market. SHIKOKU saw a staggering 86% drop post-sale, a plunge felt hard by token holders everywhere. PeckShield, keeping a sharp eye on the situation, noted the drastic price fluctuation:

“$SHIK has dropped -95.8% after Buterin unloaded a chunk of his stash. It’s a rollercoaster ride!”

The History of Strategic Sell-Offs

Buterin’s recent sales aren’t a standalone instance. Back in May 2021, he pulled off a similar stunt with popular tokens like Shiba Inu (SHIB) and Dogelon Mars (ELON), resulting in price drops that shook the very foundations of these meme coins—40% and 90% respectively.

Community Reactions: Mixed Emotions

The cryptocurrency community remains divided over these sales. Some express frustration at the seeming reckless disregard for the tokens’ stability. Others speculate that tax implications likely drove his decision, noting that receiving airdrops counts as income in most tax jurisdictions. One community member put it candidly:

“Seems like a strange move, but maybe his accountant warned him about the tax implications of these airdrops? Selling to cover the expense is a possibility.”

Buterin himself has a history of addressing ownership concerns, having confirmed ownership of the wallet in a 2018 tweet amidst accusations of hoarding Ether. This ongoing dialogue regarding Buterin’s actions serves to highlight the delicate balance of influence in the cryptocurrency space.