Charlie Lee, former Coinbase technical director, sold all of his savings in the Litecoin (LTC) crypto currency he founded in 2011. Initially, the idea was to supplement gold (Bitcoin) with a kind of silver (Litecoin), with a lower price, easier mining and transactions.
Motives for such an act, Charlie Lee explained to Reddit. The main reason is a conflict of interests. The founder of the crypto currency says that he is sick of the situation when everyone is catching every word of him, and then they are accused. Whatever he says, these words affect the price of lightcoin. The price decreases or rises, and then accusations of market manipulation begin. It got to the point that some accused that Charlie does it for mercenary purposes, because he himself is in a short position. Because of the fact that he, as the owner of LTC’s largest capital, had too much influence.
Charlie Lee says he always avoided buying or selling coins before or after important tweets. That is, he voluntarily fulfilled the requirements that are put forward to traditional insiders. Nevertheless, the main demand was still violated – as an insider, he had no right to own and trade LTC coins.
Now it will be so.
“In recent days I sold and donated all my LTC. Litecoin had a very good impact on my financial condition, so I earned enough and do not need my welfare to be tied to the success of lightcoin, writes Charlie Lee. – For the first time in more than six years, I no longer have any coins that are not tied to a physical medium (I saved several pieces for collector purposes). It’s definitely a strange, but in a way refreshing sense. ”
The founder of the project reassured all investors and co-owners: “Do not worry. I do not leave Litecoin and I will continue to devote all my time to developing this project. The success of Litecoin will still be a reward for me, in a variety of different meanings, just not directly through the cost of crypto currency. Now I believe that for me this is the best way to continue to oversee the growth of Litecoin. ”
Charlie Lee asked not to ask how many coins he had, how much he sold and at what price. He assured everyone that this volume is only a small part of the volume of trading on the GDAX exchange – and his sales did not bring the market down (over the last 24 hours, the volume of world trade in light coins exceeded $ 2 billion, according to statistics from Coinmarketcap.com).
Note that in the last month there has been no collapse of the market. Litecoin obediently grew up after Bitcoin, and in the last seven days ranged from $ 254 to $ 374 and from 0.0145 BTC to 0.2 BTC, in dollars and bitcoins, respectively.
After the publication of his post, Charlie Lee published an update in connection with the famous Bitcoin Cash fiasco, trades that were suspended on GDAX due to a sharp increase in price after the addition of BCH to the Coinbase listing. Charlie Lee says that even here he is accused of pumping the value of BCH for his own benefit: “It seems the situation is hopeless,” he notes sadly.
Note that on GDAX at some point the price of BCH soared to $ 9000. Bidding should be resumed today, December 20.
At the moment, Litecoin takes the 5th place among all the Crypto-currency by capitalization, although it was once the second. Now it is located Bitcoin ($ 281 billion) Etherium ($ 80 billion), Bitcoin Cash ($ 65 billion) and Ripple ($ 29 billion). Litecoin itself has a capitalization of $ 17,390,025,692. Thanks to the recent correction, the Bitcoin dominance index has again returned to levels below 50%. Unlike bitcoin, altcoins have grown on the contrary in recent days and have approached the cumulative capitalization of $ 300 billion.
For all the crypto-currency with bitcoin, the total capitalization is about $ 630 billion.
Given the capitalization of Litecoin, it is unlikely that Charlie Lee could sell coins more than a couple of hundred million dollars. But even with such a relatively modest amount for his financial well-being, you really do not have to worry.
But he will still retain his influence on the audience of investors in crypto-currencies. Thanks to his work in Coinbase and over Litecoin, he gained considerable credibility and 378,000 subscribers on Twitter. Surely they will still listen to every word of it. Charlie Lee is tweeted under @SatoshiLite.
It should be noted that his brother Bobby is the founder of one of the largest crypto-instruments in China BTCChina, so that an influential clan formed there.
In 2017, Litecoin grew significantly stronger than Bitcoin. As of January 1, the cost of LTC was only $ 4.36, that is, by the present moment has grown approximately 75 times in an incomplete year.