Ethereum co-founder Vitalik Buterin has gone on a shitcoin promoting spree, exchanging almost $700,000 worth of tokens beforehand airdropped to him for Ether (ETH).
According to Etherscan, a pockets belonging to Buterin on March 7 offloaded 500 trillion SHIKOKU (SHIK) for 380.3 ETH ($595,448), almost 10 billion Cult DAO (CULT) for 58.1 ETH ($91,021), and 50 billion Mops (MOPS) for 1.25 ETH ($1,950).
Due to the low liquidity of the tokens the gross sales had an enormous impact on their costs. The largest value drop from the tokens was SHIK, which recorded an 86% drop following Buterin’s sale based on CoinMarketCap information.
#PeckShieldAlert $SHIK (SHIKOKU) has dropped -95.8%Vitalik Buterin-labeled handle has dumped ~5T $SHIK, and gained ~164 $ETH (~260k) and transferred 214 $ETH ($337k) to EthDevhttps://t.co/Uw6TA1RDKP pic.twitter.com/FuIbgGgrdA
— PeckShieldAlert (@PeckShieldAlert) March 7, 2023
The complete circulating provide of SHIK is 1 quadrillion, with the five hundred trillion beforehand held by Buterin representing 50% of the present provide.
In May 2021 the Ethereum co-founder initiated an analogous offload promoting tokens comparable to Shiba Inu (SHIB) and Dogelon Mars (ELON) that resulted in value drops of 40% and 90% respectively.
Related: Ethereum value motion and derivatives information affirm bears are presently in management
While some inside the cryptocurrency neighborhood shared their frustration at Buterin’s resolution to promote contemplating the outsized impact it had on the tokens, others urged it was motivated by the tax implications of receiving airdrops, that are topic to earnings tax in most nations.
Seems like an odd transfer, he is greater than conscious this may tank costs and drain liquidity. My one assumption is that his accountant warned him these tokens would depend as earnings on his tax sheet. Selling to cowl the expense
— SecureZero (@securezero) March 7, 2023
Buterin confirmed he owned the pockets in a 2018 tweet after he was accused of hoarding 75% of the availability of Ether with fellow Ethereum co-founder Joe Lubin through the token’s pre-mining sale.
