David Edwards
Ethereum co-founder Vitalik Buterin has committed to donating all Layer 2 (L2) tokens in his possession to support public goods within the Ethereum ecosystem or broader charitable causes. This declaration follows recent accusations that Buterin had sold significant amounts of Ether (ETH) for personal profit.
Buterin Dismisses Profit Allegations
Buterin addressed these claims, clarifying that since 2018, none of his ETH sales have been for personal gain. Instead, proceeds from any sales have been directed toward projects aimed at benefiting the Ethereum network or charitable initiatives.
In a statement dated September 5, Buterin reaffirmed his commitment by pledging all his L2 tokens, including illiquid assets, to further support these causes. “All proceeds will be donated, either to support public goods within the Ethereum ecosystem or broader charity (e.g., biomedical R&D). I also do not intend to invest into L2s or other token projects in the foreseeable future,” he wrote.
Buterin emphasized that his funding efforts focus on advancing initiatives he considers vital, especially when other parts of the ecosystem may not fully recognize their importance.
The Allegations Explained
On August 30, a user on X alleged that Buterin had sold over $2 million worth of ETH after making a positive update about Ethereum. Blockchain tracker Lookonchain later corroborated these claims, revealing that Buterin transferred 800 ETH (approximately $2 million) to a multi-signature wallet, which then swapped 190 ETH for 477,000 USDC.
Further scrutiny revealed that on August 9, Buterin had moved an additional 3,000 ETH, valued at over $8 million, to the same wallet. These transactions fueled speculation that the Ethereum co-founder was liquidating his holdings for personal gain.
However, Buterin has long been transparent about his holdings. He initially received 700,000 ETH as part of Ethereum’s pre-mining period, which distributed 11.9 million ETH to early contributors. According to Arkham Intelligence, his current holdings stand at approximately 240,000 ETH, down from his original allocation of 700,000 ETH.
