Connect with us
Active Currencies 14355
Market Cap $2,758,977,570,304.10
Bitcoin Share 50.76%
24h Market Cap Change $8.24

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

2min Read

Share this article

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

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

According to recent reports, the stolen FTX funds appeared to be in motion and ready to be dumped.

 

Clarity on stolen and transferred FTX funds

The news that 228,523 ETH had been stolen from the FTX exchange came out as the contentious exchange was filing for bankruptcy. The person currently in possession of the tokens has become part of the top ten ETH holders in the world, as the assets’ value stood at 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 piece of the stolen FTX cash. According to blockchain explorers for Avalanche, Binance Smart Chain, and Polygon, some assets were eventually bridged to these networks. There were roughly $238 million and $14 million 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 impact prices?

Although the hacker was now the largest holder of ETH, the attempted dump was unlikely to have a significant effect on the altcoin’s price. The reason being that the current market cap of ETH was above $130 billion as of this writing, according to data from Coinmarketcap.

On 20 November, FTX sent out a tweet asking 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 label these funds as stolen.

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

Share

Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.