Bitcoin wallet dormant since 2011 moves $3.2 million in BTC
Nearly 50 BTC moved after 15 years, but on-chain data do not show that the coins reached an exchange or were sold.
By Sofia Marchetti · Columnist
· 2 min read
A bitcoin wallet dormant since 2011 moved nearly 50 BTC, valued at about $3.2 million, on Aug. 6. For investors watching for possible selling pressure, the key detail is that the bitcoin had not moved onward to an exchange or been sold as of Friday morning, according to CoinDesk.
The wallet received 49.97 BTC on July 16, 2011, when bitcoin traded near $10, and had not spent those coins in the intervening years, CoinDesk reported, citing Galaxy Research. The owner has not been identified.
Did the dormant bitcoin wallet send its BTC to FalconX?
There is no evidence that the newly moved 50 BTC reached FalconX. The coins went to an active SegWit address, a Bitcoin address format designed to use block space more efficiently and generally reduce transaction fees.
Arkham data reviewed by CoinDesk show that receiving address had previously sent 6.336 BTC and 16.131 BTC to addresses labeled as FalconX deposits. It had also received bitcoin from wallets Arkham labels as connected to Nexo and Prime Trust. That history is a clue about prior activity at the address, not proof that this specific transfer went to FalconX or another trading venue.
As of Friday morning, the 50 BTC remained in the receiving address, CoinDesk said. Public blockchain records therefore did not establish a sale, an exchange deposit, or the holder's plans.
How the transaction was structured
The transaction entered Bitcoin block 961331 at 20:14 UTC on Aug. 6, according to CoinDesk. It combined four inputs from the old wallet totaling 49.97 BTC with two smaller inputs from other addresses.
The transaction sent exactly 50 BTC to the SegWit destination. A second output received roughly 0.00116 BTC after fees. Combining inputs and creating more than one output is a normal feature of Bitcoin transactions, so those mechanics do not identify the owner or explain the reason for the move.
What a long-dormant wallet move can mean
A transfer from an old address can be part of a wallet upgrade or a change in custody arrangements. It can also precede a sale. The movement alone cannot distinguish among those possibilities, according to CoinDesk.
The transfer arrived while holders were checking older storage arrangements after a security issue involving Coldcard hardware wallets. Coinkite, Coldcard's maker, urged affected users to move funds after disclosing a firmware flaw dating to 2021 that could expose keys generated by affected devices, CoinDesk reported.
That backdrop does not establish a connection to this transaction. CoinDesk reported no evidence that the 2011 wallet was affected, and the address existed years before the Coldcard device. Until the BTC moves again, the blockchain provides a record of where the coins went, but not why they were moved.
This story draws on original reporting from Decrypt.
