Ethereum co-founder Vitalik Buterin has once again liquidated a significant amount of meme coins that were sent to him, triggering conversations across the crypto space. On-chain data from Lookonchain reveals that Buterin offloaded various meme coins, cashing out approximately $139,000. Notably, his trades included selling 340 billion DOG for $19,000, 10 trillion DINU for $4,181, and the biggest chunk—ESTEE—for over $116,000.

Interestingly, rather than plummeting, ESTEE saw a dramatic 100% surge in value following the sale. Trading volume for ESTEE skyrocketed by 9000%, surpassing $3 million. This unexpected rally has led to discussions about whether Buterin’s transactions influence meme coin valuations positively or if his involvement is merely coincidental.

Buterin’s sell-offs are nothing new. In the past, he has sold meme coins worth millions. Last year, he dumped 10 billion MOONDENG tokens for nearly $976,000, contributing to a total of $2.2 million in meme coin sales. Previous transactions include $35,000 in FWOG tokens, $67,000 in POPCAT, $14,000 in VITALIK, and $28,000 in SATO. Despite these liquidations, the meme coin market has proven surprisingly resilient.

Buterin has been consistent about his stance on meme coins and their intended use. Instead of holding them, he channels the proceeds toward charitable causes. He has openly encouraged projects to donate directly to meaningful initiatives rather than gifting him tokens. “Anything that does end up getting forwarded to me ends up going to charity too,” he stated. Buterin further emphasized that the best approach for meme coin projects is to engage their communities in the donation process by setting up DAOs or other participatory frameworks.

Despite periodic sell-offs, the meme coin sector continues to thrive. Short-term volatility caused by large liquidations doesn’t seem to deter bullish traders. With the broader crypto market experiencing strong momentum, meme coin valuations remain elevated. However, their inherent volatility makes them vulnerable to the influence of high-profile figures like Buterin.

The debate surrounding meme coins persists. While some view them as speculative assets prone to market manipulation, others see potential in their community-driven model. Whether meme coins can sustain their current growth or remain susceptible to external shocks largely depends on adoption trends, community engagement, and major market players like Buterin himself.