FTX Transfers $19M in Solana and Ether from Cold Wallets to Exchanges

The group overseeing the assets of the bankrupt crypto exchange FTX, currently in the hands of the debtor group, has conducted a series of on-chain transactions in recent weeks. On Thursday, blockchain data revealed that the debtor group controlling wallets associated with FTX's cold storage transferred over $19 million worth of various tokens to addresses belonging to cryptocurrency exchanges.

According to Peckshield, an on-chain analytics firm, approximately 470,000 SOL tokens, valued at around $15 million at current market prices, were moved to different wallets. The firm also noted that a portion of these funds found their way to centralized exchanges like Binance.

In addition to the SOL transactions, an FTX-linked wallet based on the Ethereum network shifted tokens worth $2.5 million, including 11,000 COMP tokens, to a deposit address on Binance. Another transaction involved the transfer of 1,395 ether (ETH), equivalent to $2.5 million, to an address associated with Coinbase, as reported by Peckshield.

#PeckShieldAlert #FTX Cold Storage-labeled address on #Solana has transferred ~470K $SOL (~$15M) out. Some of these funds have been sent to #CEXs like #Binance #FTX Cold Storage-labeled address on #Ethereum has transferred ~$2.5M worth of cryptos, including 11K $COMP & ~974K… pic.twitter.com/KSi4Fgf3Al

— PeckShieldAlert (@PeckShieldAlert) October 26, 2023

The labels on the wallets involved were confirmed by CryptoQuant, another on-chain analytics firm.

It's worth noting that cold storage refers to an offline wallet that is not connected to the internet, distinguishing it from hot wallets, which are held on exchanges or online platforms.

Over the past few weeks, the debtor group managing these wallets has executed several transactions. Just the day before, on Wednesday, a tranche of tokens amounting to $8 million was transferred to Binance through multiple transactions.

In earlier October, the group staked over $122 million in SOL tokens and $30 million in ETH, a position that stands to yield annual rewards of at least $9 million. The new CEO, John J. Ray III, has criticized the company's financial controls, and founder Sam Bankman-Fried is currently undergoing legal proceedings.

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