Bitcoin Forum

Curious about this, not sure if anyone has the answer

Some bitcoin addresses show literally thousands of transactions and almost every 2 days money shifting from one wallet to 100 wallets or more and then each wallet moves funds again and again.
Ive seen some addresses showing 20,000 + transactions

is there any legitimate reason that someone would do this? or are these just dodgy accounts?
always found it strange ???

Exchanges handle probably thousands, if not more, of transactions a day. The addresses you've been watching could be exchanges sending their customers the withdrawals they've requested. Or maybe it's a mining pool's address. A large no. of transactions does not make a certain address "dodgy".

From the top of my head one such example could be deposit addresses at exchanges, especially for those using arbitrage bots.
The exchange uses the deposited funds for other customers' withdrawals, hence you'll see a big mix-up of transactions.
And in many cases the user has one and same deposit address, hence all his deposits will always go there. If he uses huge number of deposits for arbitrage, maybe you can get to see this.

Interesting that makes sense.

Exactly! Exchanges was the first thought I had. An individual won't be making thousands, not even up to hundreds of transactions per day. But on exchanges, every single minute, there's a trade, and a trade simply means the movement of funds.

It is actually no cause for worry :)

It isn't odd, said wallets could be used to actually conduct thousands of transactions for all we know. It may be used in an exchange or some other company, and believe me, the number of transactions a company could have is huge. Even more so if it's an exchange that handles the transactions of every user that buys from them. Besides, even if an individual's wallet has had that many transactions, I doubt it could be a cause for worry, it's not like there's a limit to how many exchanges a wallet could have anyway. The dude may be running a personal company that has him as the source of payments via BTC, kinda like how campaigns work, but bigger in size.

Possibily mixers, or CoinJoin transactions. They are used to obfuscate the origin of the coins by intentionally adding hops to transfer the funds over many addresses and thus making it difficult to track the addresses. CoinJoin transactions typically has many outputs and inputs as well. Or exchange's addresses as mentioned.


Or, though unlikely could be someone trying to push up the mempool's fees by artificially inflating the number of transactions. Could you send a link to the address? It'll make it more evident.

Or probably gambling sites as well, even though the price of bitcoin is going south, whales, big time gamblers didn't stop, and on the contrary, bets are getting bigger and more gamblers still not slowing down with their gambling activity. So there's nothing dodgy seeing this kind of movements specially in a bull run.

I don't know why but the only Crypto that the price didn't fell on Dec 23-24 is Bitcoin maybe something big will happen on January. ;D (https://www.vlive.tv/post/0-20536716)  ;D (https://www.vlive.tv/post/0-20536681)

You can type and search the addresses and transactions you are curious about with

- https://www.walletexplorer.com/
- https://bitinfocharts.com/top-100-richest-bitcoin-addresses.html
If those addresses belong to big exchanges, I believe you will find them wit those website tools.

Fee is falling so I don't think those transactions were made to artificially raise up the fee on bitcoin network.
https://jochen-hoenicke.de/queue/#1,1w

How about millions?
This is one of the addresses in Binance's wallet (https://www.blockchain.com/btc/address/1NDyJtNTjmwk5xPNhjgAMu4HDHigtobu1s) but, there are others, like Huobi with 3 million  (https://www.blockchain.com/btc/address/1HckjUpRGcrrRAtFaaCAUaGjsPx9oYmLaZ).
And there are many more, not just exchange, old gambling services like SatoshiDice (https://www.blockchain.com/btc/address/1dice8EMZmqKvrGE4Qc9bUFf9PX3xaYDp) or Luckybit (https://www.blockchain.com/btc/address/1NxaBCFQwejSZbQfWcYNwgqML5wWoE3rK4)

Just imagine if you would be able to see the statement of Walmart's incoming transactions, close to 40 million a day.


HiHi, since I've mentioned SatoshiDice I remember all the drama about them clogging the chain with their transactions, enough to make people search for ways to ban their transactions from getting into blocks.

With more companies more than ever, I do think that it will be more common that there will be a lot of addresses doing a lot of transactions. I do agree about removing prejudice towards high traffic address, they could be innocent and what I think a "dodgy" one will do is to spread the transactions to prevent suspicions and to blend in with the crowd, the best hiding spot is plain sight. Do not worry about it OP, they do not affect you in any way and sometimes dipping your toes somewhere you do not know might lead you into some rabbit hole you might regret getting in.

Doesn't CoinJoin show up as 1 tx after which the address is considered "used" and the joined coins go to another unused address though, which pretty much means the said address likely shows up as having 1 tx only (the join)?

They are. The transaction will be quite big with a large number of inputs and outputs so I inferred that OP could have been referring to that and people could be doing repeated CoinJoins. I can't tell what it is unless OP states the addresses.

Not sneaky, not belonging to one person / individual, I often see transactions made by several well-known crypto exchange companies, especially Bitcoin and Ethereum, they sometimes use multiple BTC addresses, sometimes one address does, sometimes more than 20,000 transactions a day, depending on trade and transactions.

I am not surprised to see one BTC address that makes that many transactions, because it is done by an exchange company, not an individual.