Someone Just Moved $1 Billion Worth of Bitcoin

September 10, 2019 / by Ronald Tichenor

Eagle-eyed crypto enthusiasts spotted some unusual Bitcoin activity yesterday when $1 billion worth of Bitcoin was moved to a newly created address. 

The transaction was completed on Friday, Sept. 6 at 3:30 a.m. London time from several addresses to a newly created one. A $700 transaction fee was paid, which was a much higher rate than required.

It seems that the funds came from an address that was created in 2016. The average transactions made to this address amounted to around 15,000 BTC, but there were withdrawals  as well. The address also appears to still have all the BCH and BSV from the forks in 2017 and 2018.

In any case, a dormant wallet has lurched back to life, moving nearly 100,000 BTC in the process. 

As usual, the cryptoverse offered plenty of possibilities on who the unknown whale was. 

Some speculated that it may be connected to VanEck and their ETF workaround which was scheduled to begin trading on September 5th. Others suggested a connection with Bakkt, which is beginning to accept client deposits today. 

Several analysts on crypto Twitter claimed to have traced some of the original addresses to Huobi. Normally, moves of this size are connected to exchanges moving funds or conducting normal wallet maintenance. However, exchanges usually move funds in smaller blocks of, say, 5,000 BTC at a time. To move such a large amount in one shot is unusual.

Still others tried to find a connection with recent Chinese Ponzi scheme PlusToken, which accumulated several billion dollars worth of BTC from investors. 

It wasn’t lost on most commentators that $1 billion dollars was transferred in less than an hour for a cost of $700 with no bank intervention, government approval, or documentation needed. Such is the beauty of Bitcoin.