The US government has reportedly moved 15,085 bitcoins worth over $920 million to two new wallets. Seized in the infamous 2016 Bitfinex hack, the funds were transferred to unknown addresses in a series of four transactions in less than two hours. At present, the US government holds 200.16K BTC valued at roughly $12 billion.
According to Arkham Intelligence, the wallet belonging to the authorities first sent 1 BTC before transferring the remaining 2,817 BTC, emptying the wallet. The funds were worth a total of $173 million. A few hours later, a second wallet holding 12,300 BTC was sent to multiple addresses valued at nearly $750 million. In total, $923 million of the confiscated funds were shuffled based on the current market price of the leading crypto.
Bitfinex, a top cryptocurrency exchange, succumbed to one of the largest online heists to date back in 2016. The onslaught resulted in the loss of nearly 119,756 BTC. Ilya Lichelman, who pleaded guilty in the Bitfinex case last year, is now a witness helping federal prosecutors prosecute coin mixer Bitcoin Fog. Ilya Lichelman pleaded guilty last year to his role in the $3.6 billion Bitfinex hack; the U.S. Department of Justice seized billions in cryptocurrency.
At the time of writing this post, the US government has not specified the motive or purpose of the transactions; market observers are continuously monitoring the price trends.
Bitcoin Set on Surpassing 2021’s Peak
The dominant crypto continues to soar to new heights while navigating the market complexities. BTC reached $63,914 and is on the brink of surpassing its all-time peak of 2021. With many having their eyes on its course, Bitcoin is currently holding steady at 62,691. This sudden uptick is driven by increasing expectations about the upcoming Bitcoin halving next month.
The halving, as reported by TronWeekly, occurs every four years, whereby miners’ rewards for verifying transactions are reduced by half. This strategy is aimed at decreasing the supply of new Bitcoins into circulation, thus increasing scarcity while potentially leading to a higher value of Bitcoin in the long run.