Bankrupt FTX Exchange Makes Solana Transfers: There May Be Alarm Bells for SOL Token!

• As reported by PeckShieldAlert on October 26, an address tagged as a cold storage for FTX on Solana recently transferred a massive 470,000 SOL tokens worth $15 million.
• As of the time of writing, Wintermute Trading had received over $10.49 million worth of crypto transfers from addresses associated with FTX.
• Following FTX’s bankruptcy, the now-insolvent crypto exchange has stated that it moved all remaining funds to cold wallets to minimize losses after a series of unauthorized transactions.

The recent Solana (SOL) transfers made by the bankrupt crypto exchange FTX are drawing attention: Is FTX selling its holdings of these tokens?

FTX Conducts Solana (SOL) Transfers

As reported by PeckShieldAlert on October 26, an address associated with FTX on Solana, labeled as cold storage, recently transferred a massive 470,000 SOL tokens worth $15 million. Some of the withdrawn funds were sent to centralized exchanges (CEX) like Binance and Coinbase.

Additionally, another cold storage tagged address for FTX on Ethereum transferred assets worth $2.5 million, including cryptocurrencies like COMP and RNDR, to Wintermute, a prominent global algorithmic trading firm.

As of the time of writing, Wintermute Trading had received over $10.49 million worth of crypto transfers from addresses associated with FTX. These transfers mainly included assets like ETH, MKR, LINK, AAVE, COMP, and RNDR, and a significant portion of them were deposited to Wintermute’s custodial addresses via centralized exchanges like Binance and Coinbase.

The deposit actions appear to align with the recent price increases experienced by cryptocurrencies like ETH, SOL, LINK, and AAVE. SOL has seen a surprising 4.30% increase in the last 24 hours.

FTX Relaunches Crypto Venture

FTX went bankrupt last year due to a liquidity crisis involving its native token, FTT, which caused a stir in the crypto world. Following FTX’s bankruptcy, the now-insolvent crypto exchange stated that it moved all remaining funds to cold wallets to minimize losses after a series of unauthorized transactions. Subsequently, the company made progress towards revitalizing the exchange.

FTX’s newly appointed CEO, John J. Ray III, revealed earlier this year that bankruptcy administrators proposed a new plan aimed at revitalizing the exchange. The exchange is progressing with the aim of presenting a concrete plan for the revival of the platform by December.