This morning ETH from one of the biggest crypto scams was moved to a new address. The Chinese Ponzi scam, PlusToken, was able to secure huge sums of money from gullible investors. The scam’s total value is about $3 billion.
Essentially, via the transactions, the scammers essentially moved all the Ethereum from one to address to another.
Old ETH Address: 0xF4a2eFf88a408ff4c4550148151c33c93442619e (Plus Token Scam Flagged Address)
New ETH Address: 0x997114Ca0830E9bee7443368Fa27f4Af2d4E55A6
Moreover, it looks like that before moving the entire amount, the scammers made a test transaction of 10 ETH to the same address.In the previous cases, the scammers have moved their tokens via multiple accounts forming a web of Bitcoin address to make it difficult to track the funds. Some of it can also be traced to Exchanges like Huobi and Bittrex. A single transaction worth exactly around $100 million could possibly be a single P2P sell order.
Another possibility for the Ethereum holders includes staking rewards from the PoS shift next near. Su Zhu, a known crypto analyst and CEO of Three Arrows Capital tweeted,
Moved at 8:51am Beijing time this morning
Imagine if they throw this into ETH2 Phase0 staking. Perpetual endowment yield
While staking is a possibility, a sell-off could cause a huge dump in the price. Since August 2019, when the movement of the Bitcoins in the PlusToken wallets was first noticed, it has been in a downtrend. The total number of Bitcoins involved in the scam was 187,000 BTC.
Currently, the movement of the $100 million worth Ethereum threatens a drop as well. The creators of the scam have been arrested. However, the authorities have failed to confiscate the crypto assets. Apparently, they are moving their fund from behind the bars.
The price of Ethereum at 3: 00 hours UTC is $130 with a total market capitalization of $14 billion. Hence, $100 million would account for less than 1% of the total market capitalization. It seems comparatively less, however, a similar amount of Bitcoin is being held responsible for the current dump.
How do you think the wallet owners can be tracked down? Please share your views with us.