Ethereum co-founder Vitalik Buterin will receive $100m worth of USDC token back from his $1bn Indian Crypto Relief Fund donation.
The announcement came from Sandeep Nailwal, the founder of CryptoRelief and co-founder of Polygon, who posted to Twitter announcing that Buterin will continue to help with relief efforts by deploying high risk/reward projects.
The initial $1bn donation happened in 2021 when the Shiba Inu (SHIB) contract owner sent half of the total supply of the memecoin directly to Buterin’s wallet.
Buterin did not want to hold a majority of a token he did not believe in and was quick to donate the large sum of money towards Covid-19 relief in India. The remainder of the SHIB tokens owned by Buterin were burned.
The justification for the return of digital assets comes from India’s current legislation which makes it difficult to utilize the cryptocurrency funds with full compliance.
The Indian Crypto Relief Fund believes Buterin will have a better opportunity to properly invest the funds into efforts that can accelerate India’s Covid-19 recovery.
Nailwal confirmed that $302m in digital assets is still being held for disbursement and confirmed $70m has already been distributed for relief efforts.
Buterin believes high value investments can be made from the $100m which will benefit both Indian and non-Indian populations.
Buterin tweeted: “CryptoRelief sending $100m of the $SHIBA funds back to me. I plan to personally deploy these funds with the help of science advisors to complement CryptoRelief’s existing excellent work with some higher-risk higher-reward covid science and relief projects worldwide.”
According to Buterin, these funds will go toward advanced research and development of vaccines, improved air filtration and ventilation as well as other technologies which can aid against covid-19.
Cryptocurrency compliance in India is still unclear and no one currently knows how the rest of the $300m in relief funds will be dealt with.
The Indian government has been back and forth on whether to ban digital assets or not. Recent studies have shown that cryptocurrency is very popular in India and upwards of 30% of the population own digital currencies.
Crypto enthusiasts in India will hope that a large positive donation like this could help pressure India into making more cryptocurrency friendly legislation.