Vitalik Buterin defends recent ETH sales, saying they are for projects and charity.
Vitalik Buterin states that the ETH sales were not for profit, but for projects and charity. Three years ago he held 325K ETH but now he holds 240K ETH. Buterin has defended DeFi's support for Ethereum amid criticism from some in the space.
Vitalik Buterin, the founder of Ethereum, has come out to solve the allegations surrounding the sale of Ether (ETH), that these transactions were not designed for personal profit, but with a promise to support Web3 projects and charitable initiatives.
According to a recent post by on-chain analytics firm Lookonchain, Buterin has reduced his ETH holdings by 85K ETH ($209M) in 3 years.
3 years ago @VitalikButerin claimed to hold 325K $ETH ($1.46B) when the price of $ETH was $4,500.
It now holds $240K ETH ($592M).
He reduced his holdings by 85K$ETH ($209M) in 3 years. pic.twitter.com/LG2bZcvd4A
— Lookonchain (@lookonchain) August 30, 2024
The most recent is the transfer of 800 ETH worth more than 2 million dollars to a multi-sig wallet. Lookonchain also highlighted that the same wallet address received 3,000 ETH from Buterin on August 9, fueling concerns behind Buterin's sales.
vitalik.eth(@VitalikButerin) just transferred 800 $ETH($2.01M) to a multi-sig wallet 40 minutes ago.
The multi-sig wallet exchanged 190 $ETH for 477K$ USDC later.
On August 9, #Vitalik also transferred 3,000 $ETH ($8.04M) to this multi-sig wallet. pic.twitter.com/6IlwtcqvPg
— Lookonchain (@lookonchain) August 30, 2024
Vitalik Buterin denied selling ETH for profit
In response, Buterin strongly denied any accusations of selling ETH for personal gain. He explained that he will not sell any Ether for personal finance starting in 2018. Instead, he explained that the sale of ETH is intended to support various Web3 projects and charities.
Since 2018, I have not sold or deposited the funds. All sales were to support various projects that I thought were worthwhile, whether in the ethereum ecosystem or a broader charity (eg biomedical R&D).
— vitalik.eth (@VitalikButerin) August 31, 2024
Buterin's statement aims to emphasize his long-term commitment to use his wealth for the development of important causes rather than personal enrichment.
Supporting Ethereum and DeFi
Buterin's statements touch on his stance on decentralized finance (DeFi) and the broader Ethereum ecosystem. Ethereum has come under fire for not supporting DeFi enough.
Cain Warwick, who coined the concept of agriculture, and crypto-philosopher MilliΞ criticized Buterin for not emphasizing DeFi.
However, Buterin defended Ethereum's role and position in DeFi, saying that he thinks “DEXes are great, and I use them every week.”
The applications I'd like to see are (i) applications that are sustainable and (ii) don't pay for fundamental principles (licenselessness, decentralization, etc.).
I think DEXes are great, and I use them every week.
I think it is a decentralized stablecoin…
— vitalik.eth (@VitalikButerin) August 25, 2024
Buterin's defense demonstrates Ethereum's commitment to ensuring that it supports meaningful and sustainable growth in the blockchain space. He has consistently defended the importance of long-term value over temporary gains, reinforcing his position that the Ethereum network should focus on fundamentals rather than temporary trends.
By addressing these allegations and defending Ethereum's role in DeFi, Buterin reaffirms his commitment to his vision of a decentralized and impactful digital future.
