Wallets associated with the bankrupt crypto firms FTX and Alameda Research transferred over $10 million worth of digital assets to exchange accounts within a five-hour period, signaling potential asset liquidations.
According to blockchain analytics platform Spot On Chain, an address linked to FTX moved approximately $5 million in Ether to a holding account on Oct. 24 around 8:18 pm UTC.
Over the next 30 minutes, this account split the funds between Coinbase and Binance deposit wallets, sending $3.4 million and $1.8 million, respectively.
Around 9:00 pm, a known Alameda Research wallet also forwarded small amounts of LINK, MKR and AAVE tokens to the holding address, totalling $95 in value.
Over the following five hours, additional FTX and Alameda wallets collectively sent roughly $5 million more in assets to the account. This included COMP and RNDR tokens.
At approximately 2:00 am UTC on October 25, the holding address then forwarded $2 million in LINK, $2 million in MKR and $1 million in AAVE to a Binance deposit address.
In total, Spot on Chain tracked $10,362,403 in crypto moved to exchanges by entities related to the collapsed firms within this short timeframe. The actions suggest asset liquidations may soon occur.
In September, a Delaware court approved a proposal to liquidate over $3 billion in crypto holdings from FTX and Alameda’s bankruptcy estates. Liquidators warned that sudden, massive sales could further destabilize digital asset markets.
However, the assets are expected to be sold gradually in phases to minimize price impact. The recent transfers of around $10 million represent a small fraction of the total inventory.
Also Read : FTX and Alameda Move $8.6M in Crypto to Binance
