A $1 Billion Covid Crypto Donation For India Hits Red Tape

Sandeep Nailwal, a New Delhi-based entrepreneur founded the India Covid Crypto Relief Fund that received the donation.

Two months after Ethereum co-founder Vitalik Buterin donated about $1 billion in cryptocurrency to an India Covid relief fund, about $20 million has been paid out so far. That may not sound like much, but between cashing out of an illiquid asset, complying with government regulations and getting the money to the right places, it isn't easy, according to Sandeep Nailwal, a New Delhi-based entrepreneur who founded the India Covid Crypto Relief Fund that received the donation. For starters, Mr Buterin's gift of 50 trillion Shiba Inu coins -- 5% of the memecoin in circulation -- spurred a 50% crash in the price. The tokens should eventually amount to $400 million, Mr Nailwal estimated in an interview. Local regulations have also taken up time. In order to comply with India's Foreign Contribution Regulation Act the fund has gradually been converting the tokens into dollars and then rupees, with about 80% completed so far, Mr Nailwal said.