Ethereum Founder Vitalik Buterin Lost Thousands of Dollars on This Altcoin Investment! Here Are the Details

Ethereum co-founder Vitalik Buterin recently deposited 2.09 million STRK tokens worth approximately $799,000 to Binance, according to Onchain Lens.

Vitalik Buterin Deposited 2.09 Million STRK Tokens on Binance, Lost $714,000 in Value

This transaction comes after Buterin acquired these tokens over the past five months, during which time the value of the tokens has fallen from an initial $1.51 million to a loss of $714,000. Buterin currently holds a balance of 15,862 STRK tokens, worth around $6,000.

Buterin’s connection to StarkNet dates back to May 2018, when he participated in a $6 million seed round to support the project. The exact size of Buterin’s investment in that round was not disclosed.

What is Starknet (STRK)?

Starknet (STRK) is a Layer-2 network based on Validity-Rollups, also known as Zero-Knowledge Rollups (ZK-Rollups). Based on Ethereum (ETH), this network provides high scalability for decentralized applications with its innovative rollup technology.

Starknet leverages ZK-Rollups, allowing thousands of transactions to be processed off-chain and then rolled into a single transaction on the Ethereum mainnet.

This approach significantly reduces gas fees and network congestion typically associated with high transaction volumes on Ethereum, making blockchain applications more efficient and accessible to a wider audience.

*This is not investment advice.