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Why Ethereum Founder, Vitalik buterin, took back his Indian donation?

Ethereum founder Vitalik Buterin is getting back for the portion of Shiba Inu coins that he had donated to an Indian corona (COVID-19) pandemic situation relief fund in 2021 named India Crypto Relief Fund, also known as “CryptoRelief”. In recently Buterin took on Twitter to state that CryptoRelief is sending approximate 100 million (roughly Rs. 745 crore) in crypto-currency from the ‘Shiba fund’ back. Buterin said that the "personally deploy these fund(s)" in some ‘higher-risk, higher-reward COVID science and relief projects in worldwide’. Buterin went on to say that in pushing for the transparent way of deploying the said funds, he had co-founded for the new organization named Balvi, which will oversee the process of deploying the funds on his behalf.

According to Buterin, Balvi, will primarily focus on the deploying they said ‘SHIB funds’ in areas of vaccine research & development, funding innovative air filtration projects, and testing among for the others. Meanwhile, Sandeep Nailwal, a co-founder for Polygon and also the founder of CryptoRelief confirmed Vitalik's statement, saying that they would be releasing the funds in USDC, a stablecoin that is pegged to the US dollar. According to Sandeep, the decision to return many of the funds to Vitalik was largely informed by the need to avoid conflict with Indian laws on the distribution of relief funds.

Considering fund's foreign origin and laws of India, CryptoRelief followed as the systematic, controlled and robust approach in disbursing funds mandated to be utilized for India. But being an Indian citizen (NRI), they have to be extra cautious in any of the projects being donated to, he said. He further noted that Buterin, being a non-Indian was better suited to making decisions and deploying for the projects that have a higher risk but can lead to high rewards, and much faster.

In 2020, After minting one quadrillion SHIB tokens Ryoshi, a co-founder of the memecoin noted in the ‘WOOF Paper' that they would be sending 50 per cent of the total coins to Vitalik as an appreciation for his contribution to the crypto ecosystem. Vitalik later donated for the whopping 50 trillion SHIB to the India Crypto Relief Fund for the mitigation of COVID-related effects. Vitalik then burnt up to 90 per cent of his remaining holdings (about 410 trillion SHIB) valued approximate 6.7 billion (up to Rs. 50,045 crore) then, citing the danger of being the locus power of holding that amount of the total circulation of a coin.