Exchange Crypto.com started moving large amounts of Shiba Inu to an unidentified wallet, stunning the Shiba Inu community.
Blockchain tracker Whale Alert brought the massive shuffle to the community’s attention on Tuesday. According to the platform’s tweet, Crypto.com moved huge amounts of Shiba Inu to an unidentified wallet in batches.
What Really Happened
Whale Alert showed that the exchange moved the first batch of 1.634 trillion SHIB from its hot wallet “0xf2B0” to an unidentified wallet “0xa23f.” Crypto.com shifted the $39 million worth of Shiba Inu by 13:47 (UTC) on Tuesday.
🚨 🚨 1,636,940,000,000 #SHIB (39,038,563 USD) transferred from #CryptoCom to unknown wallethttps://t.co/3J9xiNndj3
— Whale Alert (@whale_alert) January 7, 2025
However, the whale tracker noted that multiple similar transactions occurred afterward, stressing that the exchange shuffled the exact amount five times in the same hour. Meanwhile, a deep dive into the details revealed that Crypto.com moved the funds twenty times to the same receiving address, amounting to 32.74 trillion tokens.
Moreover, on-chain analysis by The Crypto Basic revealed that the approximately 32.74 trillion SHIB ($390,385,630) shuffled was an internal transfer. According to data drawn from Arkham, the receiving address was a Crypto.com Deposit address.
Hence, the exchange simply shifted excess Shiba Inu from its hot wallet to its deposit address. Notably, internal transfers of this nature are not new to large trading platforms, as they move such funds to enhance liquidity and security.
Community Reactions
Meanwhile, the massive transfers stunned some of the Shiba Inu enthusiasts. For instance, a user asked what the massive shifts implied, while another speculated that it looked like a hacker was exploiting Crypto.com and moving the funds elsewhere.
However, other users perceived the event as a whale accumulation. The reactions insinuated that a whale was buying the staggering amounts of Shiba Inu and moving them to a self-custody wallet.
Nonetheless, the transfer correlated with a massive market downtrend, which saw Shiba Inu correct almost 10% on Tuesday. The downtrend has spilled into today, with the dog-themed meme coin further retracing 1.24% to trade at $0.00002151.
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