Ethereum Founder Issues Important Update on ETH Ownership: Explained

Ethereum’s co-founder, Vitalik Buterin, recently took to Twitter to provide clarity on his ETH holdings. Amidst swirling speculations and rumors, Buterin affirmed that he has refrained from selling any ETH for personal profit since 2018. Instead, he has directed the proceeds from any sales towards supporting projects he deems valuable, both within the Ethereum ecosystem and in broader charitable initiatives.

In a tweet, Buterin stated, “I haven’t sold and kept the proceeds since 2018. All sales have been to support various projects that I think are valuable, either within the Ethereum ecosystem or broader charity (e.g., biomedical R&D).” This assertion aimed to address misconceptions surrounding his ETH transactions.

Furthermore, Wu blockchain referenced Buterin’s statement made on Warpcast, highlighting his commitment to utilizing his ETH not for personal financial gain but for charitable causes. Buterin emphasized that any perceived sales of ETH were actually donations to charities, nonprofits, or other projects, with the recipients selling the ETH to cover expenses. He reiterated that his ETH sales have never been for personal enrichment since 2018.

Wu blockchain also drew attention to Buterin’s earlier comment on Reddit from three years ago, where he disclosed that the ETH in his possession originated from the premine phase, with approximately 700,000 ETH received.

During Ethereum’s Genesis phase, around 12 million ETH, equivalent to about 10% of the network’s supply, was generated and allocated to early contributors, including the Ethereum Foundation and project contributors. Vitalik Buterin, as one of the primary contributors, received a significant portion of ETH as compensation for his pivotal role in Ethereum’s development.

Presently, on-chain data indicates that Buterin holds approximately 240,000 ETH, reflecting a reduction of around 423,000 ETH from his initial holdings. Insights from Lookonchain suggest that over the past three years, Buterin has decreased his ETH holdings by nearly 85,000 ETH, valued at $209 million. Notably, when the price of ETH was $4,500, Buterin held 325,000 ETH worth $1.46 billion, indicating a substantial adjustment in his holdings over time.

This development underscores Buterin’s ongoing commitment to leveraging his cryptocurrency assets to support impactful projects and charitable causes, reinforcing his dedication to the broader Ethereum ecosystem and philanthropic endeavors.