Journalist
Posted:
- Vitalik Buterin has vowed that this week’s ETH sale was the last.
- ETH’s sentiment declined amid sell-offs from Buterin and the Ethereum Foundation.
Ethereum[ETH] founder Vitalik Buterin has assured the community that this week’s ETH sell-off was the last.
Amid renewed criticism after selling another $441K worth of ETH on Thursday,12th September, Buterin said that the order was set in August and was the last. He noted,
“That sale from yesterday (by a bio-defense group I fund) was triggered by an automatic Cowswap twap order that was set up way back on Aug 29. That was the last one.”
Buterin’s ETH sell-off and criticism
For context, a twap strategy allows one to execute a large order by spreading it into smaller chunks over a certain period.
For Buterin, this meant he had a large ETH sell order divided into smaller ones to fund projects he supported.
According to LookOnChain data, the wallet linked to Buterin, which sold 190 ETH on Thursday, has dumped $2.28 million ETH since 30th August.
Put differently, the founder divided a $2.28 million ETH sell-order into smaller chunks to fund his projects.
He has maintained that he never made a profit from the sales, as all proceeds went to support projects he believed in.
However, the community has felt they are being used as exit liquidity to fund his altruism, denting ETH sentiment and exposing investors to losses.
One user seemed fed up with Buterin’s constant sell-off and said,
“Eth is under attack right now, worst FUD in years, maybe ever, and you selling into a downtrend undermines the progress of your supporters on this front. Eth holders are not a piggy bank for your altruism.”
This has been the overall community sentiment in the past few days as Buterin and the Ethereum Foundation executed massive ETH sell-offs.
Interestingly, ETH’s weighted sentiment tanked into the negative territory at the end of August and coincided with Buterin’s sell-off spree.
Source: Santiment
The weak sentiment could also reflect overall crypto market conditions. However, the ETH FUD could undermine a strong recovery for the largest altcoin.
According to Arkham data, Buterin still holds 240K ETH, worth over $500 million. It remains to be seen whether the sell-off will cease as promised.
At press time, the price of ETH struggled below $2500 despite a recent relief rally. It has erased all yearly gains but has defended 2024 lows of $2200.
Source: ETH/USD, TradingView