- FTX, a bankrupt crypto exchange, transferred more than $10 million in digital assets.
- $5.5 million in Solana’s SOL token moved from FTX to Binance.
- Concurrently, 1,393 ETH (around $2.5 million) transferred from the exchange to Coinbase.
The bankrupt crypto exchange FTX has transferred more than $10 million worth of digital assets to centralized exchanges Binance and Coinbase, according to several blockchain analysis firms.
On Wednesday, analytics provider PeckShield spotted over $5.5 million in Solana’s SOL token being moved from FTX-linked wallets to Binance. Solana observers Lookonchain and Loch confirmed the finding, with Loch co-founder Prithvir Jhaveri stating, “FTX transferred from cold storage to two separate hot wallets. The first hot wallet sent 150,000 SOL to Binance and sent an additional 20,000 SOL to Binance.”
Concurrent activity was seen on the Ethereum blockchain. PeckShield identified 1,393 ETH worth around $2.5 million being transferred from an FTX-connected address to Coinbase.
Another FTX-tied Ethereum address also moved approximately $2.5 million in assets, including 11,000 COMP and 974,000 RNDN tokens, to a Binance deposit address, according to the analytics firm.
FTX’s crypto transfer motive remains uncertain
The motives behind the FTX estate’s crypto transfers remain unconfirmed. However, analysts speculate the transactions may involve liquidating holdings into cash. Just a day earlier, Nansen had highlighted FTX sending $8.6 million to Binance in what was possibly preparation for asset sales.
In September, the FTX estate secured court permission to liquidate up to $100 million per week in crypto holdings as part of optimizing its portfolio. A filing showed the estate has so far recovered around $7 billion in assets.
While the bankrupt exchange has struggled to reclaim funds in some cases, its position has been aided by regaining other assets and rising valuations of its philanthropic stake. Creditor claims now often surpass 50 cents on the dollar.
The recent transfers of over $10 million in crypto spotlight the ongoing efforts by the exchange’s new management to monetize digital token holdings under court supervision. Crypto industry observers will keep close tabs on the estate’s next moves.