Vitalik released a video explaining his motives behind the move to burn 90% of the remaining SHIB in his possession. He said that he believes that holding on to such large amounts of cryptocurrency is unhealthy and irresponsible. Vitalik has historically been a vocal opponent against cryptocurrency greed, calling out specific instances when people have posted about or bragged about ridiculous profits they had made while being extremely early investors and/or supporters of cryptocurrencies.
Ethereum co-founder Vitalik Buterin has burnt $7 million worth of SHIB
Buterin sent 410,241,996,771,871 coins to a dead adress which means they are gonna be stuck there forever. The amount he burned is about 41% of the total SHIB in circulation.
After he destroyed the coins, he left a note for the SHIB community:
“I’ve decided to burn 90% of the remaining Shiba tokens in my wallet. The remaining 10% will be sent to a (not yet decided) charity with similar values to cryptorelief (preventing the large-scale loss of life) but with a more long-term orientation. COVID is a big problem now, but it’s important to think about the longer-term future too!”
“Simply holding the remaining coins in the 0xab58 wallet forever was never an option; for security reasons alone they would have to be moved to a better wallet eventually, and any transaction I make would get interpreted as an action. So… may as well do the useful thing immediately. I’ve actually been impressed by how the dog token communities have treated the recent donation! Plenty of dog people have shown their generosity and their willingness to not just focus on their own profits but also be interested in making the world as a whole better. I support all who are earnestly doing that.”
“But for anyone making coins (or daos, or whatever else) in the future, PLEASE DO NOT GIVE ME COINS OR POWER IN YOUR PROJECT WITHOUT MY CONSENT! I don’t *want* to be a locus of power of that kind. Better to just print the coins into the hands of a worthy charity directly (though do talk to them first).”
Vitalik considered the circulating supply of SHIB has effectively been halved overnight, each coin is technically rarer and therefore more valuable. However, Vitalik had over 7 million in SHIB to take care of. For these reasons he burned 90% of his remaining SHIB to increase their scarcity and value.
Even though the value of meme coins like Dogecoin and Shiba Inu might continue to rise, they still have no actual value aside from what people believe they are worth.
If you’re thinking of investing in memes, don’t do it. It sounds like a great idea, but Investing in Memes is an exercise in futility and despair that will never lead to profitability. Every time you think things are going well, something happens. Investing In Memes is all about hope and gambling–there’s nothing didactic about it. Cryptocurrency investments–especially with meme coins–are incredibly risky and should be taken with utmost caution to the point of not actually doing it at all if possible.
