Charlie Lee Vows to Keep Funding Litecoin Foundation Amid Pay Cuts

Litecoin creator Charlie Lee said he remains committed to funding the Litecoin Foundation regardless of its financial standing.

AccessTimeIconAug 28, 2019 at 7:00 a.m. UTC
Updated Sep 13, 2021 at 11:23 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Litecoin

creator Charlie Lee remains committed to funding the Litecoin Foundation despite rumors that its financials are in the red.

told CoinDesk the crypto bear market hurt the foundation's numbers much like other projects. Since 2017, Lee's donations have accounted for some 80 percent of the foundation's funding.

"The goal, of course, is to get Litecoin Foundation to be self-sustaining from donations, partnerships and merchandise sales," Lee said. "Until we get to that point, I have and will continue to support the Litecoin Foundation financially as necessary."

Litecoin Foundation board director Xinxi Wang said donations dropped in the first quarter of 2019 because of the broader bear market. After Q2 audits are complete, Wang expects the foundation's donation numbers to rise.

“I don’t think there is a correlation between donations and enthusiasm,” Wang told Chinese news site XCong. “First, we did not actively solicit donations from the community in Q1. Second, the price of Litecoin was low, so the same amount of Litecoin donations were worth less than before. In Q2, we received hundreds of thousands of dollars worth of donations.”

As XCong writes, foundation members took pay cuts in Q1 due to lower than expected funds.

Lee told CoinDesk that many employees volunteered for cuts in Q1 which is not atypical for Litecoin Foundation developers:

"With that in mind, there have been a couple of instances where employees have asked that their salary be decreased during down markets in further support of the foundation."

Lee said the foundation is running ahead with partnerships as well, such as one with the NFL's Miami Dolphins. Still, the mission remains on developing products for the Litecoin community.

One such project includes the development of Mimblewimble privacy tech on top of litecoin.

Speaking with CoinDesk, the CEO of Mimblewimble-based blockchain Beam, Alexander Zaidelson, said both teams maintain an open dialogue.

"From the get-go, we offered help in building the solution, mostly related to architecture and design," Zaidelson told CoinDesk.

Litecoin also announced earlier this month that it is working with Grin developer David Burkett for further Mimblewimble development.

Charlie Lee image via CoinDesk archives

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk offers all employees above a certain salary threshold, including journalists, stock options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.


Read more about