Ethereum co-founder Vitalik Buterin has sold all his MKR tokens, netting about $581,000 in ETH from the transaction. The sale has led to speculations that he sold in reaction to the MakerDAO founder’s recent praise of Solana’s blockchain.
In a recent post, MakerDAO founder Rune Christensen said Solana should be considered for his protocol’s new blockchain, NewChain, because of its technical quality and optimization.
Buterin Dumps MKR Tokens
Soon after the blog post, Buterin sold the entire 500 MKR tokens in his holdings via CoW protocol. According to the Arkham Intelligence dashboard, the sales fetched him 353 ETH.
The sale is the first time Buterin had sold MKR tokens since 2021, when he donated 100 MKR tokens to the India Covid relief fund.
He acquired 1,071 MKR tokens in April 2018, when it was trading at $905. With the token now trading at $1,127, Buterin made a handsome profit on his holdings.
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Community Speculates on Motivation
However, the sale has piqued the interest of leading crypto community members, including Tron Network founder Justin Sun, with many questioning the motive. Sun asked:
“Why vitalik dumps #MKR?”
While some speculate that this could be a retaliatory move, this appears improbable, considering Buterin’s previous endorsements of the Solana network.
Alternatively, some interpret this as a bearish indicator and a lack of faith in MakerDAO’s strategies. Some also perceive MKR as overpriced and ETH as undervalued.
MKR has been a top performer recently, gaining 9.1% in the last seven days. The positive performance of the token is due to protocol developments and the introduction of SubDAOs in Korea.
Selling History
Ethereum’s co-founder, Vitalik Buterin, has a history of divesting from his digital asset holdings.
In August, he liquidated 600 Ether, valued at approximately $1 million, through Coinbase. Market observers closely watched this move, believing it exerted downward pressure on Ether’s price, which was encountering challenges at the time.
Earlier in the year, Buterin sent 200 ETH to Kraken in March. During this timeframe, he also parted ways with various unsolicited altcoins, exchanging them for 439.25 ETH.
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