While it’s widely reported that hundreds of millions of dollars in Ethereum-based tokens were siphoned from the FTX wallet after the company filed for bankruptcy on Nov. 11, 2022, another $333 million worth of FTX-related bitcoins somehow vanished as well. At one point, FTX held $3.3 billion worth of bitcoins during its heyday, but by Nov. 7, 2022, the exchange held 0.25 bitcoin.
After Binance’s CEO Changpeng Zhao (CZ) told the public that Binance would be dumping all of its FTT tokens, people immediately started to watch FTX’s reaction. In addition to watching FTX’s reaction to CZ’s statements, people started to eye the beleaguered exchange’s crypto balances.
A great deal of people are watching the Ethereum-based addresses that siphoned funds from the exchange the same day it filed for bankruptcy protection. However, FTX also held at least 20,176.84 bitcoin (BTC) on Nov. 5, 2022. Yet the following day, FTX’s BTC reserves dropped to 220.26 bitcoin. By Nov. 7, 2022, data revealed the exchange only held 0.25 bitcoin as it was all transferred well before the firm’s bankruptcy filing.
Last year, when FTX was a top exchange in terms of global crypto trade volume, cryptoquant.com data shows the trading platform held 75,303 BTC, and bitcoin was exchanging hands for around $46K per unit. At that exchange rate in mid-April 2021, the stash of 75K + bitcoin was worth roughly 3.3 billion nominal U.S. dollars.
By mid-September 2021, FTX’s bitcoin reserves dropped down to the 20,000 range and remained that way for well over a year. An archived snapshot recorded on May 8, 2022, indicates that coinglass.com data had once shown FTX was the 11th largest exchange in terms of BTC reserves.
On that day, FTX held 20,048.43 bitcoin according to coinglass.com’s data. Coinglass now places FTX in the 18th position as it shows the exchange holds 7.03 BTC. Cryptoquant.com’s metrics indicate that FTX’s wallet holds roughly 7 BTC on Nov. 19, 2022. The 20,176.84 BTC is worth around $333 million but when it was transferred the funds were worth about $409 million.
The 20,176.84 BTC leaving FTX was reported on via Twitter and a couple of crypto media publications. Moreover, FTX’s bitcoins vanished before CZ told the public Binance would acquire FTX and then later revealed Binance backed out of the deal over due diligence.
While the proof-of-reserves concept has been gaining traction, a number of exchange addresses were already known to the public. FTX’s BTC reserve stash was recorded by a number of onchain data sites including cryptoquant.com, glassnode.com, and coinglass.com.
What do you think about the 20,000 bitcoins that vanished from FTX on Nov. 7, 2022? Let us know what you think about this subject in the comments section below.
Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
Draft Law Regulating Aspects of Crypto Taxation Submitted to Russian Parliament
A bill updating Russia’s tax law to incorporate provisions pertaining to cryptocurrencies has been filed with the State Duma, the lower house of parliament. The legislation is tailored to regulate the taxation of sales and profits in the country’s market ... read more.
While it’s widely reported that hundreds of millions of dollars in Ethereum-based tokens were siphoned from the FTX wallet after the company filed for bankruptcy on Nov. 11, 2022, another $333 million worth of FTX-related bitcoins somehow vanished as well. At one point, FTX held $3.3 billion worth of bitcoins during its heyday, but by Nov. 7, 2022, the exchange held 0.25 bitcoin.
After Binance’s CEO Changpeng Zhao (CZ) told the public that Binance would be dumping all of its FTT tokens, people immediately started to watch FTX’s reaction. In addition to watching FTX’s reaction to CZ’s statements, people started to eye the beleaguered exchange’s crypto balances.
A great deal of people are watching the Ethereum-based addresses that siphoned funds from the exchange the same day it filed for bankruptcy protection. However, FTX also held at least 20,176.84 bitcoin (BTC) on Nov. 5, 2022. Yet the following day, FTX’s BTC reserves dropped to 220.26 bitcoin. By Nov. 7, 2022, data revealed the exchange only held 0.25 bitcoin as it was all transferred well before the firm’s bankruptcy filing.
Last year, when FTX was a top exchange in terms of global crypto trade volume, cryptoquant.com data shows the trading platform held 75,303 BTC, and bitcoin was exchanging hands for around $46K per unit. At that exchange rate in mid-April 2021, the stash of 75K + bitcoin was worth roughly 3.3 billion nominal U.S. dollars.
By mid-September 2021, FTX’s bitcoin reserves dropped down to the 20,000 range and remained that way for well over a year. An archived snapshot recorded on May 8, 2022, indicates that coinglass.com data had once shown FTX was the 11th largest exchange in terms of BTC reserves.
On that day, FTX held 20,048.43 bitcoin according to coinglass.com’s data. Coinglass now places FTX in the 18th position as it shows the exchange holds 7.03 BTC. Cryptoquant.com’s metrics indicate that FTX’s wallet holds roughly 7 BTC on Nov. 19, 2022. The 20,176.84 BTC is worth around $333 million but when it was transferred the funds were worth about $409 million.
The 20,176.84 BTC leaving FTX was reported on via Twitter and a couple of crypto media publications. Moreover, FTX’s bitcoins vanished before CZ told the public Binance would acquire FTX and then later revealed Binance backed out of the deal over due diligence.
While the proof-of-reserves concept has been gaining traction, a number of exchange addresses were already known to the public. FTX’s BTC reserve stash was recorded by a number of onchain data sites including cryptoquant.com, glassnode.com, and coinglass.com.
What do you think about the 20,000 bitcoins that vanished from FTX on Nov. 7, 2022? Let us know what you think about this subject in the comments section below.
Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
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The ethereum wallet known as the “FTX Accounts Drainer” has started to offload the ethereum it collected this past week after becoming the 27th largest ether address. On Nov. 19, 2022, the wallet held 250,735 ether, but by 7:44 a.m. (ET) on Nov. 20, the “FTX Accounts Drainer” transferred roughly 50,000 ether out of the wallet. By leveraging Ren’s bitcoin gateway, the entity has been swapping out the ethereum in exchange for bitcoin.
The wallet known as “FTX Accounts Drainer” has dropped from the 27th largest ethereum wallet position to the 37th position after unloading roughly 50,000 ether worth around $58.3 million on Sunday, Nov. 20, 2022. The day prior, Bitcoin.com News reported on the wallet becoming the 27th largest ether wallet after it consolidated more than 250,000 ETH.
Onchain analysis indicates that “FTX Accounts Drainer” has sent the 50,000 ethereum through Ren’s bitcoin gateway, a platform that tokenizes bitcoin (BTC) on the Ethereum blockchain. The “FTX Accounts Drainer’s” identity is currently unknown as some believe it’s a malicious entity, others believe it’s a former FTX executive, and some people believe it may be a white hat hacker.
The entity’s other address, which holds over 100 ERC20 tokens, has remained untouched for a week now and it’s worth roughly $189 million. Choosing to offload through Ren’s bitcoin gateway indicates that the user wants to get bitcoin in exchange for the ether. Using Ren instead of swapping into WBTC was likely chosen because WBTC is managed by Bitgo.
The Renvm protocol is more decentralized as it can mint tokens that represent non-Ethereum-based cryptocurrencies. While tokenized BTC products like WBTC are popular, RENBTC is a lot less liquid in comparison.
What do you think about the “FTX Accounts Drainer” offloading ethereum for bitcoin using Ren’s bitcoin gateway? Let us know what you think about this subject in the comments section below.
Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
Oman to Incorporate Real Estate Tokenization in Virtual Assets Regulatory Framework
Real estate tokenization is set to be incorporated into Oman Capital Markets Authority (OCMA)'s virtual asset regulatory framework. According to an advisor with the authority, the tokenizing of real estate will open investment opportunities for local and foreign investors. Real ... read more.
Source From : News