Here’s what Ethereum founder Vitalik Buterin did with the Ethereum he dumped in 2017

In a series of tweets, Ethereum co-founder Vitalik Buterin provided more clarity about what the Ethereum Foundation (EF) did with the money they raised from selling ETH at the top of the previous bull run.

Here’s what Ethereum founder Vitalik Buterin did with the ETH he dumped in 2017

He claims that the money is used to support the developer community and grant grants. When the crypto space reached half a trillion dollars in December 2017, Buterin asked Crypto Twitter if it was worth the coin at the time.

This question seems relevant just months after the peak of the bubble kicked off a new bear market.

On a podcast with Eric Weinstein, Thiel Capital’s CEO, Buterin, revealed that he convinced EF to convert 70,000 ETH into fiat by mid-January 2018 when the cryptocurrency was at its current highs. $ 1,400:

“I did get the Ethereum Foundation to sell 70,000 ETH like basically at the top, and that’s doubled our runway now, so it was one good decision that had a lot of impacts.”

At the time, there was some speculation that the move was needed as the foundation was short of money. Buterin said that the decision to pump around $ 100 million in liquidity made the turning point for the project.

As for Buterin’s funds, he claims that he sold ETH at around $ 700, which is about half of the cryptocurrency’s all-time high.

A portion of the money he withdraws, which is speculated to be around 30,000 ETH, was donated. Contrary to what some suggest, Buterin’s Ethereum holdings do not translate to Bitcoin. He hasn’t touched BTC since 2017.

On-chain data: $ 449 million Bitcoin on ETH eclipses off-chain competitors

The on-chain analysis shows that the amount of Bitcoin held on the Ethereum blockchain has grown exponentially at an incredibly fast rate since the end of May. On August 16, there were about 38,021 BTC on Ethereum, or $ 449 million is stored in aggregated Bitcoin protocols like Wbtc, Renbtc, Sbtc, etc.

Despite the many efforts of Blockstream Liquid supporters and Lightning Network (LN) enthusiasts over the years, Ethereum is storing and moving more BTC than both of these networks combined. The amount of BTC held on Ethereum is 1,448% greater than the current total on the LN and Liquid forks.

L-BTC is a token issued on a sidechain Liquid created by Blockstream. As of August 17, there were 2,490 L-BTC ($ 29.4 million in Bitcoin) locked into the system. Liquid’s Total Locked Value (TVL) is higher than that of the Lightning Network ($ 12 million as of August 16, 2020). These two networks add up only $ 41 million BTC locked into the system.


BTC Trading on Ethereum daily through a decentralized exchange

As such, the amount of BTC on Ethereum eclipses all the efforts of the Blockstream and Lightning Network. Some Ethereum supporters are satisfied with this milestone.

According to statistics from Dune Analytics, there are around 38,021 BTC ($ 449 million) on Ethereum. As AZCoin News reported, the Wrapped Bitcoin (Wbtc) project with the most BTCs locked up in the system with 26,161 coins ($ 310 million). The Wbtc project seems to be very excited about these developments as Wbtc holds the highest number of BTC aggregated on Ethereum to date.

On Saturday, Wbtc’s official Twitter account tweeted:

The project utilizes data from analyst Zack Voell, which shows 5,738 BTC mined during the week. Meanwhile, 6,785 BTC switched to the Wbtc protocol.

Read more:

Join us on Telegram

Follow us on Twitter.

Follow us on Facebook

You might also like