The co-founder of Ethereum, Vitalik Buterin has burnt almost 90% of his Shiba Inu tokens. This makes up about 40% of the total coins that are currently circulating in the market. Buterin also announced that the remaining 10% of his holdings will be given to charity. These thoughts were communicated by Buterin in a note that was attached to an ether transaction that was conducted on the evening of May 16th. Ethereum’s co-founder said that he had been donating and burning coins because he hadn’t seen any other option. He revealed that he had been given 50% of the total Shiba Inu tokens in circulation from the creators of the coin.
He said that he was ditching the coins because this would ensure that he wasn’t being scrutinized every time he made a transaction in Shiba Inu. On the aforementioned note, Buterin said that he was burning the 90% Shiba Inu tokens in his wallet and the remaining 10% would be donated to a charity that he hadn’t picked yet, but should have the same values as CryptoRelief. This charity is aimed at preventing loss of life on a large-scale. Buterin also urged coin creators to halt the practice of sending substantial quantities of tokens to charities and people without discussing it with them first. Buterin said that he didn’t enjoy being a locus of power.
He added that it was better to just hand the coins to a charity directly, but also after consulting them. Once he burns those Shiba Inu tokens, they will no longer be in circulation. The term ‘burning’ in the crypto market refers to the practice of sending tokens to a public address, which cannot be accessed. This means that they tokens would remain there and no one would be able to use them. The 40% Shiba Inu tokens burnt by Vitalik Buterin are around 410 trillion coins and their total valuation is about $7 trillion.
After Buterin’s announcement, the coin’s value increased by more than 40% and reached $0.00001953. According to the data by CoinMarketCap, the coin’s market value was increasing gradually. Before he burnt the SHIB tokens, Buterin had also made a donation last week of about 50 trillion tokens to CryptoRelief, which had a total valuation of $1 billion. The co-founder of Polygon, Sandeep Nailwal had created this crypto-based charity in India and CryptoRelief was founded for helping in fighting the deadly wave of COVID-19 in the country.
But, Buterin did say that the remaining 10% would be donated to a different charity and not CryptoRelief. He also praised the SHIB tokens and said that he was impressed at how the recent donations had been treated by the token communities. Most of the crypto community were also full of praise for Buterin because of how he tactfully he had handled the entire situation. The development was also taken positively by the Shiba Inu team itself and they said that the move by Buterin had had a major impact on the trajectory of the coin.