Galaxy Digital has disclosed the sale of more than 80,000 Bitcoin—worth over $9 billion—on behalf of a long-term investor.
The transaction, revealed on July 25, is one of the largest ever executed in Bitcoin’s history.
Analysts Trace Galaxy’s $9 Billion BTC Sale to Early MyBitcoin-Era Wallet
According to Galaxy, the Bitcoin belonged to an unnamed client who acquired it during Bitcoin’s earliest days and had held the coins for more than a decade.
The firm described the move as part of the client’s estate planning, hinting at a strategic decision to realize gains after years of holding.
Notably, Galaxy also made the announcement on-chain, using an op_return field to embed the message in transaction metadata.
The transaction included 1 satoshi—Bitcoin’s smallest unit—being sent to each recipient address. This symbolic act captured the attention of blockchain analysts.
“if the press release isn’t on-chain, did it even really happen? this transaction is funded with 80,000 sats from a Galaxy Digital address, and pays 1 sat of dust to each of the addresses involved in the 80,000 BTC sale,” pseudonymous Bitcoin analyst Mononaunt said.
Following the disclosure, blockchain investigators traced the coins to addresses tied to MyBitcoin, one of the earliest Bitcoin wallet services. The platform shut down in 2011 after a notorious hack, leaving many coins unaccounted for.
CryptoQuant CEO Ki Young Ju noted that the wallets had been dormant since April 2011, just before the platform’s collapse. This has fueled speculation about the seller’s identity.
“It likely belongs to the hacker or the anonymous founder known as Tom Williams. It seems Galaxy Digital bought the #Bitcoin from them, but I’m not sure if they did any forensics,” Ju added.
Meanwhile, market analysts also questioned the strategy behind unloading such a large amount in a single transaction.
Bloomberg’s Eric Balchunas suggested the scale of the Bitcoin sale would have caused significant slippage. He added that the urgency behind the move raised important questions about the seller’s motive.
“Have they lost faith that badly that they want to take that much money out that quickly? Unless they plan to buy the LA Lakers in cash, it seems odd/even concerning,” Bachunas questioned.
However, Eliezer Ndinga of 21Shares suggested that if Galaxy facilitated the transaction, it likely conducted stringent KYC checks, reducing the chances that the seller was an unidentified bad actor.
“It’s a behavior akin to a hacker but if that amount was processed by Galaxy I assumed they had a stringent KYC process to enable transaction to go through,” Ndinga said.
Other market observers praised Bitcoin’s swift recovery from the sell-off. They noted that the rebound reflects its growing maturity as an independent asset class.
As of press time, BTC is trading above $117,000, a remarkable turnaround for a digital asset that had fallen to a multi-week low under $115,000 amid the sell-off.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
