The story of Vitalik Buterin's Shiba Inu – The transformation of the billion-dollar meme coin

In the world of cryptocurrency full of volatility and chaos, few stories are as fascinating and surprising as the story of Vitalik Buterin, the co-founder of Ethereum, and his inadvertent role in the rise of Shiba Inu (SHIB) - a meme coin that has shaken up the cryptocurrency space. Gift from the darkness: The mysterious founder of Shiba Inu It all started in 2020 when an anonymous individual called "Ryoshi" created Shiba Inu, a meme coin based on Ethereum designed to capitalize on the dogecoin craze. But instead of holding the tokens tightly, Ryoshi decided to send a large portion of the SHIB supply—500 trillion tokens, or half the total supply—to none other than Vitalik Buterin. The reason behind this move remains unclear, but it quickly turned Buterin into a unwitting cryptocurrency whale. At that time, Buterin had no relationship with Shiba Inu. He did not participate in its creation process, and certainly, he had no plans to become a cryptocurrency tycoon. However, when Shiba Inu tokens appeared in his wallet, their value skyrocketed, reaching a market value of 40 billion dollars in a short period of time. That was enough to make anyone stop, including some of the biggest names in the cryptocurrency field. Burn: A calculated move to avoid power Buterin, who always follows an idealistic philosophy, has a clear philosophy: he does not want to hold too much power over a community. In May 2021, when the price of SHIB surged, he made a bold decision to 'burn' 410 trillion SHIB tokens—sending them to a keyless wallet, essentially destroying them forever. This burn wiped out 6.7 billion dollars worth of tokens, a move that shocked the cryptocurrency community and created ripples across the market. But Buterin didn't stop there. In the same month, he also donated an additional 50 trillion SHIB tokens, worth about 1 billion dollars, to India's COVID-19 relief efforts. Vitalik Buterin's actions stem from a desire to separate himself from the burgeoning meme coin movement and prevent the concentration of power in a single individual. By burning a large portion of the tokens, he also contributes to reducing the overall supply, thereby sparking a new wave of interest in SHIB. Wave effect: Super-fast roller coaster ride for Shiba Inu This round of burning immediately and strongly impacted the SHIB token. In the short term, the price of SHIB has dropped sharply, leading some to believe that the era of meme coins has passed. However, in the typical cryptocurrency fashion, the market had other plans. The supply cut and the publicity surrounding Buterin's actions have rekindled community enthusiasm. SHIB has recovered and become one of the most famous meme coins in the market. Fast forward to 2025, and Shiba Inu still stands strong with a market capitalization of 10 billion dollars. Meanwhile, Buterin continues to sell donated tokens, using the funds raised for charitable purposes, such as the $940,000 donation he made in January 2025 to support biomedical technology research. Although his involvement with SHIB was largely accidental, Buterin's handling of the situation - burning tokens, donating money, and avoiding personal worship - has had a lasting impact on the Shiba Inu community. Reluctant meme lord Vitalik Buterin's relationship with Shiba Inu is a perfect example of how unpredictable the cryptocurrency space can be. What began as an effort by an anonymous creator to make a splash in the meme coin world has turned into one of the most iconic and bizarre chapters in cryptocurrency history. Buterin's story is a blend of genius, generosity, and chaos—a microcosm of everything that makes the cryptocurrency world both volatile and captivating. So, what can we learn from the story of Buterin's Shiba Inu? First, it shows that the cryptocurrency world is full of surprises, and sometimes even the smartest minds can find themselves at the center of a meme frenzy. It also proves that although the meme coin market is irrational, it can still be leveraged for good purposes, with Buterin using his unexpected windfall to benefit others. Finally, whether you love or hate meme money, the story of Vitalik Buterin's Shiba Inu dog is still a legendary chapter in the history of cryptocurrency—a reminder of how randomness, timing, and a bit of generosity can collide in the most unexpected ways.