Vitalik Buterin was the co-founder and co-founder of Ethereum. He donated $1 billion to an Indian covid-19 relief fund in May 2021 in a Shiba Inu-themed cryptocurrency. Bloomberg reports that only $20 million, or roughly 2%, of the original pledge has been fulfilled so far.AdvertisementMany cryptocurrency advocates talk up the speed, reliability, and efficiency of the crypto market as compared to cash transactions. However, the slow pace at which Buterins gifts are being used in India to achieve results highlights the regulatory issues and difficulty of moving wealth out of the cryptocurrency market. This is before you consider the long vetting process that charitable funds must go through to ensure that money doesn't go waste.Bloomberg reported Wednesday that Buterin's gift of 50 trillion Shiba Inu coins to Dogecoin has met with many obstacles. First, Buterin's donation plans were 5% of all cryptocurrency in circulation. This immediately caused a price crash of 50%, wiping out half of its value. CoinTelegraph pointed out that this had the unintended side effect, increasing transaction costs on the Ethereum network. Bloomberg was told by Sandeep Nailwal (New Delhi-based entrepreneur) that he projects the donation at $400 million when it is cashed out.Nailwal said that all the Shiba Inu coins must be converted into U.S. Dollars and then Indian Rupees in order to avoid India's Foreign Contribution Regulation Act violations. Bloomberg reported that the process was 80% complete. However, he said that he has been careful with the disbursement of the funds to ensure that they reach organizations that have a tangible impact on the local level. Nailwal said that $20 million more is on the horizon, while another $20 million has already been spent to support food supplies and set up intensive care units in India for patients.India was devastated by the coronavirus epidemic, especially in densely populated areas. The virus engulfed hospitals with an unending stream of patients and caused havoc in cities. When the virus' highly transmissible delta strain began to strike India in April, thousands became ill every day. In cities like New Delhi, funeral pyres were lit 24 hours a day. Although the country has now seen more than 31.5 million confirmed cases and 422,000 deaths, these figures are still considered a significant underestimate. The Center for Global Development in the United States estimates that India's pandemic could have resulted in an excess death rate of between 3.4 million and 4.7 million.According to the Associated Press and only 25% of Indians who have received a dose of coronavirus vaccine, many Indian survivors of the virus are now stuck with an insurmountable medical bill.Bloomberg was told by Nailwal that the fund had been set up to combat the third wave. Despite increasing cases, Indian state governments have relaxed restrictions. The South China Morning Post reported that only courts and medical associations were urging caution against making reckless decisions despite the fact that there are more people in India.AdvertisementThe Indian government, led by Prime Minister Narendra Modi, has been strongly hostile to cryptocurrency. It was reported that they were considering legislation to criminalize the mining, trading, and even holding of cryptocurrencies such as bitcoin. The bill was not passed and the central government is still trying to figure out how regulation should be implemented.
