Over $623 Mln worth of Bitcoin [BTC, -1.69%] stolen from the Bitfinex exchange earlier in 2016 were moved earlier on Wednesday, consistent with Twitter account Whale Alert, approaching the same day the entire market celebrated a milestone in cryptocurrency history: Coinbase’s direct listing on Nasdaq.
Trade The Chain, a real-time cryptocurrency data service, confirmed the amount of bitcoin shifted and added that it amounts to about 10% of the entire 119,756 BTC stolen from Bitfinex in 2016’s hack.
The activity came as cryptocurrency exchange giant Coinbase went accept its direct listing on Nasdaq and analysts revealed that the timing might not be a coincidence.
“We believe that the Bitcoin [BTC] transfers started within the trading for Coinbase’s direct listing,” Nick Mancini, research analyst at Trade the Chain, revealed within an official interview. “The media shields permit them to a min of getting less publicity, considering there are fewer people tracking their movements or reporting it.. .everyone’s focused on the Coinbase listing.”
As Decrypt earlier reported, over 5k BTC was also moved on 30th Nov. from the same stolen fund.
The November move of the funds came as bitcoin’s price headed toward $20k, a record high price at that time.
But some suggested that the move is unlikely to make any near-term risks to bitcoin’s price.
“The 2016 Bitfinex hack BTC are a number of the foremost tracked and blacklisted funds within the world,” Adam Cochran, a partner with Cinneamhain Venture, added within an official tweet. “No exchange will process them. They can basically never be cashed out.”
However, with the increase of decentralized exchanges, Mancini said that there could be ways for the “bad actors” from the hack to obfuscate the addresses of the stolen bitcoin via popular cryptocurrency fundraising methods like IDOs [Initial DEX Offerings].
“Although it’s time-consuming, difficult, and somewhat trackable, we’ve seen with the wallets of where the cash was transferred, they’re already trying to obfuscate everything as best as possible,” Mancini added. “I suspect that this is often not the ultimate destination for these coins but a primary destination for a path of the many ways in which these bad actors will fancy eventually extract value out of the bitcoin.”