Bitcoin whales are channeling billions of dollars worth of crypto holdings into smaller wallets, according to researchers at Flipside Crypto.
A new report finds BTC whales holding 1,000 BTC or more have sent a total of 423,914 worth $6.9 billion to smaller wallets holding less than 1,000 BTC.
The whales do not appear to be sending any of the BTC to crypto exchanges, where it could be traded on the open market.
Although it’s impossible to prove what the whales are up to, Flipside market analyst Rochelle Guillou says they could also be “fanning out” their holdings to attract less attention or preparing for over-the-counter sales.
“In a recent interview with Laura Shin, Willy Woo explained that he saw a massive influx of new investors, CEOs and boards of directors, scooping up Bitcoin to put them in corporate and personal wallets.
Perhaps new institutional investors are looking to purchase BTC directly from the OG’s and sidestep exchanges all together.”
Guillou says some whales may also be shifting BTC to wallets with less than $10,000 in order to sell cryptocurrency on centralized exchanges without violating the travel rule of international banking.