Analysts Report $160 Million Worth of SOL Unstaked from FTX Wallets
Recently, Lookonchain analysts revealed that FTX wallets have unstaked approximately 3.9 million Solana (SOL) tokens, valued at around $160 million. These funds were then transferred to centralized exchanges. Specifically, FTX-linked wallets moved $30 million worth of SOL tokens to Binance and Kraken. As a result of this news, the price of SOL experienced a 3% drop to $40.4, according to CoinGecko.
While the identity of those behind these transactions remains unclear, there are suggestions that Galaxy Digital, Mike Novogratz’s investment firm appointed as a supervisor for the liquidation of FTX’s assets, may be involved. However, this has not been confirmed by Crypto.news.
FTX-Linked Wallets Previously Sold Millions of SOL and ETH
In addition to the recent unstaking activity, FTX-linked wallets also sold 1.1 million SOL (approximately $42.3 million at the time) and 7,183 ETH (about $13 million) on November 3, 2023, as reported by Lookonchain analysts. It is unclear whether the move to Binance and Kraken was made with the intention to sell SOL tokens.
Sam Bankman-Fried Found Guilty in FTX Case
The on-chain movements come amidst legal troubles for Sam Bankman-Fried, the founder of FTX. He has been found guilty on all seven counts related to the collapse of the FTX crypto exchange in November 2022. Bankman-Fried is scheduled for sentencing on March 28, 2024. Bloomberg interviews suggest that his allies Caroline Ellison, Gary Wang, and Nishad Singh may also face sentencing but are unlikely to receive significant prison time.
Hot Take: FTX Wallets Unstake $160 Million Worth of SOL
FTX wallets associated with the defunct crypto exchange have recently unstaked a significant amount of SOL tokens, causing the price of SOL to drop. The funds were transferred to centralized exchanges, and there are speculations that Galaxy Digital may be involved in these transactions. This comes in the midst of legal troubles for FTX founder Sam Bankman-Fried, who has been found guilty in the case of the collapsed exchange. The actions of FTX-linked wallets raise questions about the future of SOL and highlight the potential impact of regulatory and legal issues on the cryptocurrency market.
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