Ethereum co-founder Vitalik Buterin has revealed that his 2016 investment in $25,000-worth of dogecoin earned him $4.3m.
Featuring on the Lex Fridman podcast recently, Buterin said he decided to give all the money to charity.
While he remains slightly skeptical about the applications for dogecoin, Buterin still finds the currency to be an important chapter in the development of crypto, describing it as one of the first among the so-called “fun coins”.
Even Buterin himself acted on impulse when buying dogecoin and he admitted that his decision back in 2016 wasn’t very well-informed.
“At the beginning, people didn’t take it seriously. I remember thinking to myself, how am I going to explain to my mum that I had just invested $25,000 into dogecoin”, he said.
The price spike in early 2021 caught Buterin completely off-guard, though, as he didn’t expect the price to surge so wildly over weeks, boosted by a market-wide bullish run.
Buterin shared how he first received the news of dogecoin shooting up in value and said that he immediately unloaded.
Dogecoin managed to go up from $0.008 to $0.07 in a single day, a rise of 775%. “I immediately called up some of my friends and told them to drop everything and scramble, and I sold half of the doge and I got $4.3m, donated the profits to GiveDirectly, and a few hours after I did this the price dropped back from around $0.07 to $0.04”, he said.
Had Buterin waited for doge to hit $0.50, though, he could have earned $20m. If you still have Dogecoin, you may want to use it at places such as BitStarz, 1xBit, and FortuneJack to name a few excellent choices.