‘Free’ Goerli ETH tanks 43% after rising to $1.60 during the weekend

Goerli’s Ethereum (GETH) tokens rose to as high as $1.60 during the weekend before tanking by more than 43% to $0.29 at the time of writing, according to Dexscreener data.

The token’s market cap was $1 million, while its liquidity was around $157,000, according to the data.

The Goerli testnet is one of Ethereum’s popular testnet, allowing developers to test applications before deploying on the mainnet. This means that the ETH tokens on this testnet were supposed to be free and devoid of monetary value.

Crypto community reacts

Ethereum core developer Tim Beiko pointed out that the Goerli Ethereum token distribution had become “less reliable” — leading to hoarding among holders of the tokens.

Beiko added that the Goerli testnet would be “shut down eventually.”

Uniswap (UNI) founder Hayden Adams wondered why people were buying Goerli ETH tokens. Adams corroborated Beiko’s statement that the testnet would soon be unsupported and deprecated.

Polygon’s (MATIC) chief information security officer Mudit Gupta noted that “testnet ether is supposed to be free but is being marked up by speculators.” Gupta said:

“Keyboard warriors will tell you that the developers are buying it but no, they are not. Maybe 0.1% are buying for consumption. This is the start of the end of Goerli testnet. It served us well.”

A blockchain developer Aayush Gupta said hackers drained one of his test wallets because the value was attached to the test token. He added that “Goerli testnet is over. Move dapps & Protocols to L2 testnets.”

Journalist at CryptoSlate

Oluwapelumi is a believer in the transformative power Bitcoin and the blockchain industry holds.