Brothers, it's time to snack on some gossip! 140,000 bitcoins, stolen by hackers 14 years ago, have suddenly been sold with the help of Wall Street mogul Galaxy Digital, under the guise of estate planning. Even more absurdly, these coins are directly linked to the infamous MyBitcoin exchange theft case from 2011, where the founder ran off with the money. Now, these coins have skyrocketed by 130,000 times, making it the most successful money laundering case in history!
Today, let's dig into the truth: Why didn't the $9 billion sell-off crash the market?
Many people are asking: With such a massive sell-off, why didn't Bitcoin plummet?
Honestly, I was confused at first, but after digging into the on-chain data, the truth came to light:
Institutions have become "the buyers": Giants like BlackRock and Fidelity have absorbed 900,000 BTC through ETFs over six months, equivalent to daily purchases of $50 million. The market has been propped up by institutions, turning it into a "sponge."
OTC trading goes incognito: Galaxy quietly sold off through over-the-counter channels, not listing orders on exchanges, so retail investors hardly felt the impact.
Cycle theory is outdated: The old script of whales selling → retail buying → price crashing has been completely broken by long-term institutional holdings. As CryptoQuant's CEO said: the cycle is dead; institutions are the new market makers.
Here comes the critical question: Financial institutions have a duty to investigate the source of funds; did Galaxy really not conduct due diligence? If these coins are tainted, they could face three major risks:
1. Anti-money laundering investigation: The SEC and FinCEN could knock on their door at any time.
2. Asset freeze: Referencing the Bitfinex case, the U.S. Department of Justice can directly recover funds.
3. Reputation collapse: If Wall Street finds out they helped hackers launder money, trust would plummet to zero.
Three strategies for getting rich:
1. Short-term snipers: Keep an eye on the movements of dormant whales.
Set up large transfer alerts with Arkham; once a dormant address over 10 years old activates, volatility will surely spike. At that point, play options, like buying calls/puts, and profits could double.
2. Compliant bettors: Betting on laundering pathways.
Compliant platforms like Galaxy will see a surge in demand for handling gray inheritances. Directly buy COIN (Coinbase stock) or IBIT (Bitcoin ETF) and reap the rewards of business explosion.
3. Storm arbitrageurs: Picking up money in the regulatory storm.
Go long on the BTC volatility index (BTC VIX) while buying call options on MicroStrategy (MSTR). Why? When regulation tightens, small institutions will all collapse, and the leaders (like MSTR) will instead reap the rewards of laundering, with stock prices inevitably rising.
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