Litecoin creator Charlie Lee has revealed on social media that he sold and donated all his LTC holdings over the past few days. The announcement was meant to show he no longer has a conflict of interest in promoting the altcoin but the timing has sparked some backlash against Lee.
Charlie Lee, a San Francisco-based software engineer who founded litecoin in 2013, said in a reddit post that he sold and donated all of his holdings over the past few days. The disposal is aimed at preventing a “conflict of interest” when Lee makes comments on social media about the digital currency that could influence its price, he said.
“Litecoin has been very good for me financially, so I am well off enough that I no longer need to tie my financial success to litecoin’s success,” Lee said. “For the first time in 6+ years, I no longer own a single LTC” other than a few collector’s coins.
Litecoin has climbed more than 9% percent in the past five days to $330.07, according to data from coinmarketcap.com. It slumped more than 7% on Wednesday, following most digital currencies lower after a string of bad news stories involving hacking and interventions by regulators. Lee insisted in his post that his sale wasn’t a sign that he has lost faith in the cryptocurrency.
“I will still spend all my time working on litecoin,” he said. “When litecoin succeeds, I will still be rewarded in lots of different ways, just not directly via ownership of coins.”
And how does it feel to take profits on a high from the crypto boom that has been described as the biggest financial bubble of all time? “Weird” but also “somehow refreshing,” Lee wrote.
Trading volumes of the coin have also reached unprecedented levels at the tail end of 2017, as indicated in the bottom graph in the chart below. The last 24 hours saw over $2 billion in LTC traded, according to Coinmarketcap.com.
While it has become a vehicle for making money, Litecoin’s original objective was to become the silver to bitcoin’s gold. It was also designed to be easier to mine and cheaper to transact than bitcoin in the hope that these features could make it a cryptocurrency used for trading and real-world use in the future.
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