“Funds stolen from FTX” on the move: A dump will have this effect on ETH

“Funds stolen from FTX” on the move: A dump will have this effect on ETH

  • According to recent reports, the FTX hacker moved the stolen funds to prepare for a dump
  • Some assets were stolen, while others were turned over to the Bahamas Securities Commission

According to a tweet published by Chainalysis on November 20, the stolen assets from cryptocurrency exchange FTX have been changed from ETH to BTC. Data from ether scan revealed that the transaction originated from the address associated with the suspected hacker.

According to recently reportsit stolen FTX funds appeared to be in motion and ready to be dumped.

Clarity about stolen and transferred FTX funds

The news that 228,523 ETH had been stolen from the FTX exchange came out when the disputed exchange filed for bankruptcy. The person currently in possession of the tokens has become part of the top ten ETH holders in the world, as the value of their assets was over $260 million at the time of writing.

Chainalysis also cleared up any uncertainty regarding the ownership of the assets, claiming that some were stolen while others were sent to the Bahamas Securities Commission.

How did the hacker distribute the money?

Two wallets, one on Solana and one on Ethereum, each received a portion of the stolen FTX cash. According to blockchain explorers for Avalanche, Binance Smart Chainand Polygon, some assets were eventually connected to these networks. There was approximately $238 million and $14 million of ETH and Pax Gold (PAXG) tokens in the Ethereum wallet associated with FTX’s lost funds. In addition, it had a balance of twenty different cryptocurrencies, all of which were less than $100.

Can an FTX dump affect prices?

Although the hacker was now the largest holder of ETH, the attempted dumping was unlikely to have a significant effect on the altcoin’s price. The reason is that the current market cap of ETH was over $130 billion at the time of writing, according to data from Coinmarketcap.

On November 20, FTX sent out a tweet asking questions other exchanges to stop facilitating the movement of funds from FTX through their platforms. The troubled exchange said it had discovered that funds were being routed through third-party wallets. However, it must be noted that FTX did not mark these funds as stolen.

New FTX Group CEO John J. Ray III has worked hard to right the ship after being blunt about the extent of previous management’s mismanagement. The ship is repaired, but every time he makes any progress, another blow threatens to blow the ship out of the water.

Leave a Reply

Your email address will not be published. Required fields are marked *