Binance is under hot waters, after it moved 127,351 Bitcoins (CRYPTO: BTC) from its Proof of Reserve wallet (CRYPTO: BTCB) to cold storage, on-chain data reveals.
What Happened: After the above-mentioned transfer, over 68,200 BTC worth $1.1 billion were transferred to Binance from an anonymous wallet. In total, 59,151 BTC, over $98M unpegged from Binance’s BTC reserves.
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🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 68,200 #BTC (1,146,271,741 USD) transferred from unknown wallet to #Binancehttps://t.co/UgYnN5xwYR
— Whale Alert (@whale_alert) November 18, 2022
Ki Young Ju, CEO of CryptoQuant, points out on Twitter that since no announcement has been made from Binance it means that it is either customers' or investors’ money. “I think this activity was highly likely from customers who are in urgent situations."
Here's the link for BTCB reserve wallet.
— Ki Young Ju (@ki_young_ju) November 18, 2022
127,351 BTC moved from BTCB wallet to Binance cold wallet and BTCB resserve received 68,200 BTC from the cold wallet after 44 minutes.
In total, 59,151 BTC unpegged from BTCB and flowed into Binance.https://t.co/UO1WH5Dzil
See More: Decentralized Exchanges
In a separate post on Nov.17, CryptoQaunt said that the Bitcoin reserve on Binance “is rapidly increasing” in the last couple of days. This means investors are depositing their BTC to the exchange, which will trigger a price rally for a short period, followed by dumping their BTC.
Price Action: BTC is trading at $16,808.98, up 1.51% in the last 24 hours, according to Benzinga Pro.