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Home » Journalist Unravels Wild Story of Vitalik Buterin’s $1 Billion Crypto Donation to Indian Covid Aid Fund

Journalist Unravels Wild Story of Vitalik Buterin’s $1 Billion Crypto Donation to Indian Covid Aid Fund

by admin

Again in 2021, amid the most effective of the bull run and the worst of the Covid-19 Pandemic, Vitalik Buterin made a now legendary donation of $1bn in SHIB to assist Covid-19 efforts in India.

Now nearly two years later, an investigation by prime crypto journalist Isabel Hunter (DL Information) has revealed that solely as little as 5% of the unique donation made it to Covid aid efforts in India.

The Ethereum-founder donated $1bn in SHIB tokens to an Indian Covid Aid Fund (referred to as Crypto Aid) which was setup by Polygon founder Sandeep Nailwal.

Nailwal established the fund when Covid-19 noticed an enormous breakout on this planet’s largest democracy, with as much as 3m reported new every day instances.

Buterin Donation Broke SHIB Liquidity

Of the unique $1bn donated – Vitalik despatched 500 ETH and over 1 Trillion Shiba Inu (SHIB) tokens.

Nevertheless, whereas Crypto Aid shortly moved to money in on the jaw-dropping donation – the sheer dimension of the stack pushed SHIB to the boundaries of its liquidity.

In an OTC take care of WishfulCynic and WinterMute, Crypto Aid had been in a position to commerce the close to billion greenback stack of SHIB for simply $500m in stablecoins (predominantly USDC).

This raises enormous questions in regards to the sensible liquidity behind insane multi-billion market caps – with such low liquidity ranges a worrying signal for the business.

How was the $500m USDC spent?

Of the $500m acquired in stablecoins, $274m stays within the Crypto Aid pockets.

The Crypto Aid fund returned $100m to Vitalik’s Balvi Fund – which was established shortly after to fund daring initiatives providing revolutionary responses to the pandemic.

$100m was seemingly off-ramped between April 2021 and April 2022 – and surprisingly disgraced Alameda Analysis dealt with as much as $1.5m of those funds.

From this cash-out, solely $58m reached registered non-profits and NGOs in India – with 57 of the 60 initiatives declared by Crypto Aid funds confirming their receipt of the donation share.

But, a financial institution assertion shared not too long ago by Nailwal confirmed that $40m of this funding stays sat in a checking account in Puerto Rico (with US licensed FV Financial institution). 

General, which means solely 5.8% of Vitalik’s authentic $1bn SHIB donation was ever acquired in India.

And two years later, upwards of $314m (31%) of the donation stays sat in crypto wallets and financial institution accounts managed by Nailwal.

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