The massive Bitcoin transfer, which includes $8.6 billion worth of BTC, has spread to eight untouched wallets for over 14 years, sparking a wave of speculation within the crypto community.
The transfer that occurred on July 4th included a movement of 80,009 BTC. This raised concerns about the potential market impact, and the possibility of government settlement agreements, and even hacking.
Arkham suggests that the $8.6 billion Bitcoin move was a wallet upgrade
Arkham Intelligence, an analytics company on the chain, believes that it is likely that the transfer was caused by wallet upgrades, rather than liquidation.
In a statement on July 5th, Arkham rejected the sale speculation, making it clear that the assets have moved from the Legacy 1 address to the latest BC1Q-Segwit address. This migration increases transaction efficiency and reduces network fees.
The coin in question was first deposited between April and May 2011. This was a period when Bitcoin was still trading for less than a dollar.
Now, more than a decade later, Arkham sees the funds as spread across eight wallets, a technical restructuring rather than an event that drives the market.
In particular, Bitcoin prices remained stable after transfer, further supporting Arkham’s interpretation.
Other theories surrounding transactions
Arkham pointed to an explanation of benignity, but others in the industry have made it more provocative.
Ark Invest CEO Cathie Wood questioned the nature of the deal, suggesting that the move could be linked to a government settlement.
She said the rapid stabilization of the Bitcoin market could indicate that trading is part of a larger institutional move.
“The Bitcoin market has stabilized quite quickly, so could this bloc become part of the government’s settlement agreement? Is it now part of the government’s Treasury Department?” Wood wondered.
Meanwhile, Coinbase executive Connor Grogan has raised another theory of these transfers by suggesting possible hacking.
He observed that one of the wallets sent a small Bitcoin cash transaction 14 hours before the larger Bitcoin transfer. According to him, this is a potential indication of quiet key testing before a large transaction.
“The BCH is not being monitored by the Whale Surveillance Service, so it is possible that the owner is testing the private key in a way that he doesn’t notice. He wrote.
However, Grogan emphasized that his theory is speculative, but noted that if confirmed, it could mark the biggest theft in cryptography history.
In addition to the mystery, 10x research suggests that wallets could be connected to early Bitcoin investor Roger Ver.
The speculator noted that the timing of the transaction coincided with VER’s early involvement in Bitcoin, according to the company. They also pointed out his recent release from custody as another indication of his potential involvement in the assets.
“He was released from a Spanish prison on June 5th, and those Bitcoins were last moved in May 2011, and Roger entered Bitcoin in February 2011. He certainly has billions of dollars worth of Bitcoin.”
Although there is no direct evidence to confirm his involvement, the coincidence has encouraged further discussion within the community.
The real reason behind the $8.6 billion transfer remains unknown for now. But it is certain that their awakening has sparked new conversations in the industry.
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