Ethereum Founder Shows 0 Interest in L2 Tokens, Says Will Donate All
In his recent message on the X platform, Ethereum co-founder Vitalik Buterin stated that he has no interest in Layer 2 tokens and would continue to sell all proceeds to charity and other donations. His comments came soon after several reports pointing out Buterin selling Starknet (STRK) tokens. Ethereum Founder Vitalik Buterin To Sell-Off L2 Tokens Last week, Vitalik Buterin stated that he hasn’t profited from selling tokens since 2018 and that all the proceeds have always moved towards supporting projects that he considers valuable or towards other charitable organizations. Buterin added that he applies a similar approach to Ethereum Layer-2 tokens and other projects currently in his possession. The Ethereum co-founder added that he would continue to donate the proceeds from future token sales, specifically to support public goods within the Ethereum ecosystem or for charitable endeavors outside of the crypto space. Furthermore, Buterin stressed that he has no intention to invest in the Layer-2 tokens or other projects for that matter. He added that his primary focus will be on funding initiatives that are undervalued by others within the ecosystem, with a strong emphasis on donations rather than investments. BTW the above also applies to L2 tokens or other project tokens I hold (incl not-yet-liquid): all proceeds will be donated, again either to support public goods within the ethereum ecosystem or broader charity (eg. biomedical R&D).I also do not intend to invest into L2s or…— vitalik.eth (@VitalikButerin) September 5, 2024Responding to Vitalik Buterin’s comments, an Ethereum enthusiast asked him why doesn’t he invest in projects that he supports, and later profits for good in the future. The Ethereum co-founder explained: “There are other options to get leverage out of giving money, eg. it can be in exchange for commitments to be positive-sum toward ethereum and/or humanity in some specific ways, and the value of that commitment can easily be greater than 0.14% of a company”. Furthermore, Buterin addressed concerns over his involvement in the Ethereum ecosystem adding that it’s important for him to maintain transparency. Adding further, he wrote: “I’m not part of some plot to twist the ethereum protocol in directions that benefit random infra/L2 tokens that I hold”. Disclosing the Starknet Investment The Ethereum co-founder moved a massive 2.1 million Starknet (STRK) tokens sparking massive sell-off concerns. Starknet is an Ethereum Layer-2 scalability solution that helps to boost the transaction efficiency on the network. Vitalik Buterin was a seed investor in Starknet and received a huge portion of STRK tokens as part of his involvement. Starknet and Ethereum remain two of Buterin’s significant holdings. However, it turns out that Vitalik Buterin along with the Ethereum Foundation has also been selling their ETH holdings periodically, this year in 2024. A day before, the Ethereum Foundation swapped 100 ETH for 241,000 DAI stablecoins. Amid these moves, the ETH price has come under selling pressure and is down by 3.43% as of press time trading at $2,335.46 with a market cap of $281 billion.