A thunderous shift in Ethereum (ETH) happened today as hundreds of previously inactive wallets have started moving large amounts of the major altcoin. These wallets, as reported by Lookonchain, have not been used for over 3.3 years.
Today, however, they started moving around 789,533 ETH, which is worth almost $2 billion. The funds are traced back to a wallet called PlusToken ponzi scheme, a 2021 story that seemed to be forgotten, but here we are.
Tomiwabold OlajideThe PlusToken ponzi scheme, which started in May 2018, promised big returns through a fake crypto arbitrage trading platform. People had to put in at least $500 in crypto assets, which led to the accumulation of billions in digital currency before the scam was shut down.
It was one of the biggest frauds in crypto at its time. During a crackdown in 2020, Chinese police seized a range of crypto assets, including 194,775 BTC and 833,083 ETH, among others. The latest development raises concerns similar to the impact seen with Mt. Gox's historic Bitcoin movements, potentially affecting market stability.
Gamza Khanzadaev
Speaking about that, Ethereum's price has dropped a little in response to the news, down by about 2% to around $2,480. While this immediate reaction is notable, it is not yet clear what the long-term implications of this "black swan" event will be.
Godfrey Benjamin
Dan Burgin
U.Today Editorial Team
Vladislav Sopov