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Whale Alert: Mt. Gox Transfers 47,500 BTC, Here’s Where They Went
- Bitcoin has seen an influx of sale pressure over the past month, as Mt. Gox’s ten-year bankruptcy proceedings finally spring into action.
- As billions worth of BTC hit the market, a major victim from the 2014 hack has been sent 47.5K BTC (worth nearly AU $5b) from the crypto exchange Kraken.
- At the same time, individual creditors are starting to see distributions from exchanges involved in the Mt. Gox payout plan.
Back in the day, one major holder of Bitcoin could influence the entire market’s fortunes with their moves. Thankfully, the crypto sphere has evolved since then, with BTC capable of ignoring mass liquidations thanks to its foundation of spot ETFs, institutional investment and a swathe of long-term holders.
However, when you see 47.5k BTC – worth AU $4.8b – change hands, the community can’t help but sit up straight and pay attention.
Related: Kraken Opens Institutional Services in Australia, UK Following US Launch
Kraken Exchange Heavily Involved in Mt. Gox Compensation Plan
Everyone following the market knows about the current Mt. Gox repayment plan. It was a major cause of Bitcoin’s slump in July, as the market panicked over a huge boost to circulating supply. Demand quickly caught up with these fears, and BTC recovered admirably.
But unfortunately, the US $65k (AUD $98.3k) party was short-lived, with Mt. Gox making yet another colossal transaction as part of its bankruptcy process.
Crypto analytics company Arkham Intel reported a whale alert, as 48,641 BTC was moved to an anonymous wallet. The prevailing theory is that the recipient’s address is associated with the global exchange Kraken, who is heavily involved in Mt. Gox’s compensation plan.
Mt. Gox Payouts Finally Reaching Individual Victims
Reports are coming from among the community that Kraken, having received thousands of BTC, began distributing the coins to Mt. Gox victims over the past 48 hours.
The impact on Bitcoin’s price was immediate, with the coin sinking 2.5% in the last day.
Many who received compensation after ten years of waiting likely plan to sell (or have already sold) their payouts. However, there will still be plenty who hold onto the BTC and Bitcoin Cash long-term.
For now, the new owner of 47.5K Bitcoin has held onto their fortune. This wallet address will remain a close watch though, as a decision to dump the portfolio will no doubt present a small supply hurdle for BTC bulls to navigate.
Author
Ben Knight
Ben Knight is a writer and editor from Melbourne with a passion for all things music and finance. He enjoys turning complex topics – especially the technical details of cryptocurrency – into digestible bites that anybody can understand. He acquired his Master’s in Writing, Editing and Publishing from RMIT in 2019 and has run his own creative writing business ever since.
