Amid continued asset price declines across the cryptocurrency industry, Bitcoin has made a modest recovery after plunging below $60,000 today, and Jump Crypto appears to be liquidating hundreds of millions of dollars worth of crypto (according to blockchain data).
Addresses tagged by Arkham Intelligence as belonging to the trading firm Jump Crypto have seen around $300 million inflows since yesterday, August 3rd, with most of the inflow coming from addresses Arkham has tagged as exchange wallets. Likewise, the trading firm’s wallets have seen around $80 million outflows over the same period, with most of the inflows going to exchanges like Coinbase, Gate.io, and Binance. Blockchain data shows that the movement of funds continues.
Most of the funds moved take the form of ether. X User EmberCN pointed outJump appears to have been in the process of buying back $500 million worth of Lido’s wstETH for ether since July 25, days after the US-based spot ether ETF launched on the 23rd. Jump still holds around $130 million worth of staked ether, while around $200 million worth of unstaken ether has entered the exchange, according to EmberCN.
Jump Crypto’s president, Kanav Kariya, left the company in June after three years on the job, shortly after reports emerged that the U.S. Commodity Futures Trading Commission was investigating the company’s cryptocurrency investment activities.
As Jump appears to be selling crypto, the industry as a whole continues to see a downward trend, with DeFi-related tokens taking a particularly hard hit. Bitcoin and Ethereum prices are still positive so far this year, with Bitcoin up 45%, but The Block’s DeFi Index is down about 18%.
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