Earlier this year, Ethereum co-founder Vitalik Buterin donated about $1 billion worth of Shiba Inu (SHIB) and Dogelon Mars (ELON) that were sent to him by those cryptoassets’ communities to a COVID-19 relief fund, but just $20 million have been cashed out so far.
After Buterin decided to donate the funds that were sent to him, steep sell-offs in these cryptocurrencies occurred as the Ethereum co-founder controlled a significant supply of these cryptocurrencies, crashing their prices.
According to Bloomberg, that steep sell-off has made it harder to cash out the cryptocurrencies because their value dropped significantly. The founder of the COVID Crypto Relief Fund in India, Sandeep Nailwal, who also co-founded MATIC, estimates that the value of the $1 billion donation will be around $400 million after being cashed out.
Nailwal added that to avoid violating India’s Foreign Contribution Regulation Act, all of the cryptoassets Buterin donated have to be converted to USD before being converted to Indian rupees, which is necessary before the funds are given any legal use.
Moreover, Nailwal’s desire to ensure the funds reach organizations on the ground transparently to help those who urgently need the funds has seen him plan to hire a reputable auditor to help oversee the process as it continues.
The entrepreneur told Bloomberg the conversion process is nearly complete, but that the $20 million already spent have helped shore up food supplies and set up intensive care units for patients across India.
India has been struggling to deal with the coronavirus pandemic, particularly in dense cities where citizens already struggled to have access to basic medical services before the pandemic hit its health care facilities with a never-ending stream of new patients.
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.
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