Ethereum founder Vitalik Buterin donates over $1 billion to India | India Business News


BENGALURU: Vitalik Buterin, the 27-year-old co-founder of cryptocurrency platform Ethereum, has donated cryptocurrency worth around $1.1 billion to The India Covid 19 Relief Fund. It is being dubbed as the “mother of all donations” and largest individual philanthropic effort for Covid relief in India so far.
Buterin has donated 500 Ether coins and over 50 trillion Shiba Inu coins, both of which are cryptocurrencies built on the Ethereum network.
Buterin’s net worth was a whopping $21 billion when the price of Ether topped $3,000 a few days ago, reported.
Cryptocurrency values tend to fluctuate a lot, and time will tell how much exactly Buterin’s donation will be worth. Immediately after the donation, there was panic among investors and Shiba Inu’s price crashed by almost 30%.
Crypto startup Polygon’s founder Sandeep Nainwal tweeted to thank Buterin and assured Shiba Inu holders that the relief fund would be responsible for the donation. “We will not do anything which hurts any community, especially the retail community involved with SHIB. We will act responsibly! Please don’t worry SHIB holders,” he tweeted. SHIB is Shiba Inu’s trading name.
Shiba Inu is named after the Japanese hunting dog breed. It is positioned as an alternative cryptocurrency and uses the image of Shiba Inu as its logo. Launched less than a year ago, it is one of the fastest growing crytocurrencies.
Russian-born Buterin learnt about bitcoin from his father Dmitry Buterin, who owns a software firm Wild Apricot, when he was 17 years. He co-founded the Bitcoin Magazine in 2011. He dropped out of University of Waterloo after doing a year of computer science and won the Thiel Fellowship that gives $100,000 to young people who want to build new things instead of sitting in a classroom.
Buterin got much of his SHIB as a gift from the anonymous creators of the currency. At the time it constituted half of all the SHIB in existence. “Roughly 505 billion coins. A month later, those 505 billion SHIB were worth $8 billion. On May 10, those 505 billion SHIB were worth $14 billion, giving Buterin a net worth of $16.3 billion when combined with his other holdings,” said. A day later, the same publication valued his net worth at $21 billion. That’s the kind of volatility newer cryptocurrencies in particular are seeing.
Nainwal said the (donations) funds are not brought in the form of cryptocurrency inside India. The UAE entity – Crypto Relief India – which was established two weeks ago, converts the donation via international cryptocurrency exchange Binance to a non-cryptocurrency. After conversion, those funds are deposited to banks which make deposits to Foreign Contribution Regulation Act approved NGOs in India.