Vitalik Buterin Sells Meme Coins for $636,000, Sparking Investor Concerns

According to blockchain data, Vitalik Buterin—co-founder of Ethereum—has made 257.1 ETH, or almost $636,000, from the sale of multiple meme coins.

Vitalik Buterin, co-founder of Ethereum, has sold multiple meme coins, garnering attention in light of recent meme coin gifts to Buterin. According to blockchain data, Buterin sold 330,000 MSTR, 14,000,000 POPCAT, and 36,555,000 ITO for a total of 257.1 ETH, which is roughly equivalent to $636,000.

The sales, which were highlighted by cryptocurrency news outlet Be[In]Crypto, include 1.05 million ETH6900 for 15.37 ETH, 50.53 billion SATO for 11.34 ETH, and 10 billion Milo for 4.77 ETH.

Buterin has stated that any tokens that are given to him without his request will be sold or donated, which includes these tokens. His actions align with this statement, though they have sparked discussion regarding whether this type of behavior promotes less favorable endeavors.

Recently, the Ethereum co-founder took to Twitter to commend two meme coin projects, MOODENG and EBULL, for allocating a portion of their tokens to charity initiatives. He also confirmed that the tokens airdropped to his address will be donated to a good cause. Among the examples mentioned by Buterin was the MOODENG coin, which aimed to fund research on technologies that could curb the spread of airborne diseases.

However, some critics within the cryptocurrency community expressed reservations about the message, as reported by Coingape.

They contended that acknowledging meme tokens, which are usually not very transparent, could contribute to the promotion of dubious assets. Some investors raised concerns that such projects may be using charity as a marketing tactic to garner funds and expose users to risks they might not fully comprehend.

Vitalik Buterin also shared his thoughts on the ongoing community discussions regarding the fee models for Ethereum's layer 1 and layer 2.

Buterin suggested that EIP-7762 and base rollups could serve as initial steps towards a fairer distribution of fees between the core network and Layer 2 solutions, aiming to maintain stability within the ecosystem.

Another notable figure in the cryptocurrency space, Crypto Rug Muncher, raised concerns about Buterin's actions, using the EBULL coin to illustrate his point.

As the token price surged following Buterin's acknowledgment, more investors were drawn in, according to Rug Muncher.

However, he warned that this type of publicity benefits insiders by enabling them to sell their holdings at inflated prices, while individual investors typically struggle to make a profit.

Rug Muncher emphasized that while charity work is commendable, it should not come at the expense of protecting investors. He noted that some projects may use charitable claims to appear favorable without disclosing any substantial operational risks.

These issues highlight the importance of thoroughly evaluating projects before accepting endorsements from influential individuals.