The largest recipient of the Genesis Trading bankruptcy proceedings has recently been involved in a significant Ethereum sell-off, according to data provided by Arkham Intelligence. The creditor, with wallet address 0x999u202646E, received a massive repayment from Genesis Trading as part of its liquidation process in August. This wallet was credited with 114,502 ETH, worth $358.19 million at the time.
However, despite holding a substantial portion of the liquidation proceeds, the creditor has already begun selling off a significant amount of their allocation. The sell-off began on Sept. 23, with transfers of ETH to FalconX, a leading institutional cryptocurrency brokerage firm. Over the next few days, the creditor transferred a total of 12,100 ETH, with the most recent transaction occurring on Sept. 25 at 15:39 UTC, involving 7,099 ETH valued at $18.56 million.
This large-scale liquidation comes at a time of ongoing market uncertainties for Ethereum. The asset has been experiencing sideways movements since a rapid spike from Sept. 17 to 21, moving within a range of $2,529 and $2,703 over the past five days. The recent sales from the Genesis creditor could potentially trigger a trend of selling pressure around the market.
Genesis Trading filed for bankruptcy in 2023 following setbacks, including turbulence faced by its parent company, Digital Currency Group. As part of its Chapter 11 bankruptcy proceedings, Genesis began repaying its creditors last month, distributing about $4 billion in crypto assets to those affected. The creditor in question received the largest repayment from the liquidation.
The news of the Genesis creditor’s sell-off of 12,100 ETH amid major liquidation has sparked interest and concern within the cryptocurrency community. It remains to be seen how this significant sell-off will impact the Ethereum market and whether it will lead to further selling pressure or price fluctuations. Investors and traders will be closely monitoring the situation as it unfolds.