Ethereum Creator Donates $1B In Meme Coin For COVID Relief But Were Other Forces At Play?
Meme coins have been on the rise, with Dogecoin taking off and other cryptocurrencies attempting to follow suit. This has caused some trouble for the rest of the cryptocurrency world as fees have gone up and the legitimate cryptocurrency market is diluted. Now, one of the cofounders of Ethereum, Vitalik Buterin, has donated $1 billion in meme coins to a COVID-19 relief fund for India, which may have rippling effects.
While Buterin donated quite a bit to other charities, the big donation of the bunch is 500 Ethereum, and a whopping 50 trillion SHIB worth roughly $1.14 billion at the time of the transaction was sent to the India Covid-Crypto Relief Fund. The founder of this fund, Sandeep Nailwal, thanked Vitalik and promised safe and responsible handling of the funds so that the community is not hurt. However, after this transaction was completed, $SHIB took a bit of a dive and is currently down 30% at the time of this writing.
Interestingly, cryptocurrency investors are rallying around this as a great move by Buterin, with some calling it a “high-IQ play.” One Redditor on /r/Ethereum explained that this might help to bring about the end of meme investing and “pump and dump” cryptocurrency schemes. Furthermore, they explained that this would bolster cryptocurrency in India, which may have faced trouble should the country have decided to ban it.
No matter the side effects, people who are suffering from COVID-19 in India will hopefully get the help they need. This is the most important part of all of this, but it is still interesting to see waves made in the cryptocurrency space when meme coins are dumped. Perhaps people will learn to invest more carefully, but it could just be wishful thinking. Either way, let us know what you think of this all in the comments below.