Massive $1 Billion Bitcoin Whale Transaction Makes Waves

[Wind_FURY]

How much confirmations would be needed for the $1,000,000,000 transaction to be "safe" for the recipient? It must be tempting for some miners to reorg the chain. Hahaha.

"more than 40 days" worth of blocks, according to nick szabo. it seems like there's a lot of trust in miners not to jeopardize their long term interests.

But is it actually depending all on trust to the miners? What about the threat of the community to the miners, like the UASF? The incentives in Bitcoin goes around greed, but it's more profitable to be honest.

[1713563404]

1713563404

[DarkDays]

Simple economics (supply and demand);

* If the transaction is moving TO an exchange, prepare for a dump
* If the transaction is coming FROM an exchange to a personal wallet, prepare for a pump

Most of the time these large transactions are just exchanges moving money between their treasury accounts, or are an institutional investor moving money to their custodian. They shouldn't have any effect on the price action.

[NeuroticFish]

* If the transaction is moving TO an exchange, prepare for a dump
* If the transaction is coming FROM an exchange to a personal wallet, prepare for a pump

Transaction TO exchange can happen from another wallet of the same exchange (rarely, but it's possible). Or maybe it's a transfer done for future arbitrage.
Transaction FROM exchange may not mean nothing at all. Why would people withdraw before buying more?! What if the recipient is an unknown wallet of the same exchange (consolidating)?

So I wouldn't rely on those rules...

[kaya11]

How many years will it take for that many Bitcoins to be scattered to different people around the world, that is a huge amount. If those coins are sold, it could lead bitcoin price moving downwards in an unwanted state. Hope it does not come to that and will just have keep our eyes open and see what comes next on those coins.

[jseverson]

But is it actually depending all on trust to the miners?

Not who you quoted but I'll chime in anyway. Basically yes, because you're trusting them not to do something they're fully capable of. I don't think they could be motivated by profit in this case though, considering the fact that successfully pulling it off would also entail Bitcoin prices reverting to ice age prices in a hurry. Attackers basically have to sell everything the instant they double spend, or else it's likely they lose massive amounts of money (due to prices sliding) and any future mining income (since an attack like this would probably destroy Bitcoin and most if not all alts).

[lixer]

This happens quite often, just you do not always pay attention to it. It doesn't matter

I mean people get bordered about what they shouldn't. The high time we understood that price moves as demand go the better. I know btc is valuable, so for me it is a hodl till I get in profit and if I want to sell, I do so by my choice.

The thing they don’t understand is that bitcoin market is for everyone, and a place where people deposit their money, to make use of it for a purpose and not everyone we have will keep their money tied down for ever, at one point, they will surely have a need for it.

People who complain of others pulling out their money are just selfish, they want another person to keep money for their own to grow, and the moment they get that opportunity, they will never wait for the other person’s own to grow but remove it immediately. People are more concerned about the investment in bitcoin than they are concerned about the currency usage of it and I think if we can get a very high adoption of currency users, then bitcoin will decrease less.

[BitHodler]

People who complain of others pulling out their money are just selfish, they want another person to keep money for their own to grow, and the moment they get that opportunity, they will never wait for the other person’s own to grow but remove it immediately. People are more concerned about the investment in bitcoin than they are concerned about the currency usage of it and I think if we can get a very high adoption of currency users, then bitcoin will decrease less.

We all are inherently selfish. Seeing such a large transaction take place makes people uncomfortable because they think that these coins will be sent over to an exchange to be sold.

With how illiquid this space is, I can understand where people's concerns comes from, but they shouldn't automatically assume that coins are going to be sold on a spot exchange.

There is a lot of nonsense going on with Twitter accounts reporting about large transactions. In the comment section you usually see trolls say that dumps are coming, or that whales will buy XRP, etc.

I think that a lot of the people being afraid of dumps have been reading too many of these troll comments. It's one big circus show where broke ass trolls and XRP bag holders hang out so better not pay attention to them.

[figmentofmyass]

"more than 40 days" worth of blocks, according to nick szabo. it seems like there's a lot of trust in miners not to jeopardize their long term interests.

But is it actually depending all on trust to the miners? What about the threat of the community to the miners, like the UASF?

the "threat of the community" is ultimately external to the protocol. the UASF if unbacked by hash power would have been a soft-hard fork because it would stop following the most-work chain. that's a hard fork. so the UASF threat was less dependent on the protocol itself, and more so on trust in miners to "do the right thing" out of risk aversion.

i think that's what nick is suggesting here as well. the economic incentives entailed by the protocol are strongly in favor of performing a reorg attack. since 51% attacks are compatible with bitcoin, the community would need to organize externally and hard fork to do anything about it. how likely is that?

in other words, that's a lot of trust in miners.

Cryptocurrency Deals Can Always Be Erased, for a Price

[Herbert2020]

We all are inherently selfish. Seeing such a large transaction take place makes people uncomfortable because they think that these coins will be sent over to an exchange to be sold.

i disagree with this part.
large moves happen a lot of times in bitcoin, maybe not $1 billion at a time but millions are being moved regularly using bitcoin and none of these transactions have ever made anybody uncomfortable.
what makes the uncomfortable is the news sites and all these scam "whale alert" sites that are spreading FUD all over the internet talking about "dumps" and "price drops" because of such moves. in other words people don't think that way, these sites make them think that way.

[barbara44]

We all are inherently selfish. Seeing such a large transaction take place makes people uncomfortable because they think that these coins will be sent over to an exchange to be sold.

i disagree with this part.
large moves happen a lot of times in bitcoin, maybe not $1 billion at a time but millions are being moved regularly using bitcoin and none of these transactions have ever made anybody uncomfortable.
what makes the uncomfortable is the news sites and all these scam "whale alert" sites that are spreading FUD all over the internet talking about "dumps" and "price drops" because of such moves. in other words people don't think that way, these sites make them think that way.

With millions, if it happens on a daily basis, it would not be of concern to us because we know that when there is millions of withdrawal, there will always be millions of deposit also, so there will be a balance, but for a transaction of 1 billion dollars man, it is really not easy not to get people panic because they will feel that something must have made them want to sell it, maybe there is negative policy that would have caused that, but that is actually not enough for it to create panic for us to now dump our coin at low amount.

If the movement was more than that, like maybe that transaction like 10 times, then it would have sent a signal already to us. We just need to understand that people have money in this cryptocurrency space and they would always need it at a point to use it for things outside the bitcoin. It is just like putting money in their bank and withdrawing it at the time they need it.

[bustedsynx]

Did the whale transfer his coins to a Segwit address? Plus he also moved his Rogercoins and Craigcoins to new addresses.

https://www.blockchain.com/bch/address/1JCe8z4jJVNXSjohjM4i9Hh813dLCNx2Sy

https://bchsvexplorer.com/address/1JCe8z4jJVNXSjohjM4i9Hh813dLCNx2Sy

Those are good "dividends".

Aha! At least we know the Bitcoin whale is definitely not a Bitcoin maximalist. If he were, he would have already sold both BTC wannabes long ago.  I think the BTC will end up with Bakkt's custody.

[dimastegar]

Is a big amount who can crash easily the markets, that's why people and investors get in panic after seeing that enormous transaction.

The bitcoins haven't been sold, but if the owner decides to do it I think we will see a price crash down to $7k. So, let's keep an eye on the addy who holds those coins.

Many possibilities, this could be Bitcoin belongs to an exchanger. or one of the Bitcoin purchase transactions with cash as you mean, without going through echanger. Or the old Bitcoin people who move their assets to a fresher wallet.