The co-founder of Ethereum, Vitalik Buterin, says he’s no longer a billionaire due to the recent Ethereum crash. Several other billionaires have also announced publicly that they no longer consider themselves billionaires due to the collapse of Terra UST and its sister token LUNA.
On Sunday, Ether was trading at $2,015 and is currently up by 2.4%. Its market cap stands at $243.5 billion and takes up 15% of the crypto market. Today’s volume of trading in Ethereum has experienced a drop of a little over 32.4%.
According to a Bloomberg report, the billionaire Buterin before the crash had holdings of close to $41.5 billion worth of Ethereum in November. However, on May 20th, Buterin tweeted, “I’m not a billionaire anymore.”
Over the week, several billionaires have tweeted, mentioning their losses due to the Terra sisters’ fall. Binance founder Changpeng Zhao tweeted, “poor again.” He claimed that Binance got 15 million LUNA tokens in exchange for its $3 million investment in the Terra network. The investment in stable coins hit a high of $1.6 billion in April of this year. On the other hand, Zhao did not sell any LUNA, and the stable coin plummeted to zero.
In addition to Zhao and Buterin, who have publicly announced their losses. Michael Novogratz, the founder of the crypto merchant bank Galaxy Inc, acknowledges the loss in a letter. Novogratz said it “was a big idea that failed.” He continued, “There is no good news in what happened in markets or to the Terra ecosystem. In Luna and UST alone, $40 billion of market value was destroyed in a very short amount of time. Both large and small investors saw profits and wealth vanish.” “The global macro backdrop has been brutal for all risk assets this year. Growth stocks with negative cash flows are down as much as 50 – 70% this year. Crypto has been under pressure with core assets like BTC and ETH down about 58% each from all-time highs – and altcoins are down an average of 80% from all-time highs.”
Bitcoin has lost more than 1% in seven days. While the monthly decrease is above 26%. The coin lost more than 20% of its value in a year. Bitcoin was presently down 56.5 percent from its all-time high of $68,789.63 in November last year.
Terra UST has lost its peg and is currently trading at 5 cents. It has dropped by more than 71 percent in the last week. LUNA is now trading at $0.015888. It has nearly fallen by 100 percent.
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Vitalik Buterin – The creator of Ethereum:(Opens in a new browser tab)