Image default
CryptoNewsExchangeFeaturedNews

FTX and Alameda Research Move Millions of Crypto to Exchanges

Two crypto firms that are undergoing bankruptcy proceedings, FTX and Alameda Research, have transferred over $10 million worth of cryptocurrency to centralized exchanges in a span of five hours, according to blockchain data.

Blockchain Data Reveals Over $10M Worth of Transfers

The transfers were detected by Spot On Chain, a blockchain analytics platform, which tracked the movement of funds from wallets linked to FTX and Alameda to deposit addresses on Binance and Coinbase. The transfers involved various tokens, such as Ether (ETH), Chainlink (LINK), MakerDAO (MKR), Aave (AAVE), Compound (COMP), and Render (RNDR).

The movements occurred between 8:18 pm UTC on October 24 and 2:00 am UTC on October 25. The largest transfer was 2,904 ETH, worth over $5 million at the time, from an FTX wallet to an intermediary address, which then sent $3.4 million to Binance and $1.8 million to Coinbase. The total value of the transfers was $10,362,403, according to Spot On Chain.

FTX and Alameda Research Move Millions of Crypto to Exchanges

The transfers may indicate that FTX and Alameda are planning to sell some of their crypto assets to pay back their creditors. The two firms filed for bankruptcy in September after losing a lawsuit against a former partner who accused them of fraud and misappropriation of funds. The Delaware Bankruptcy Court approved a plan to liquidate $3.4 billion worth of crypto assets that the firms held.

The FTX estate, which is currently under the management of a bankruptcy trustee, has been the subject of significant attention due to its asset movements. Although the exact reasons for these transactions remain unclear, one plausible theory is that they represent the process of token liquidation.

The liquidation plan sparked fears that dumping such a large amount of crypto may cause a market crash. However, some experts argued that the liquidation would be done gradually and in phases, minimizing its impact on the market. FTX and Alameda have not commented on the transfers or their liquidation plan.

Related posts

Circle Pushes the Launch of USDC Natively on Arbitrium

Godfrey Benjamin

Binance.US and SEC Reach Settlement to End Asset Freeze

jose

Ripple Legal Showdown: Deadline Looms Amid SEC Penalty Request

Guido Battigelli

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More