Voyager Digital’s Cryptocurrency Transfers to Coinbase Spark Speculation of Sell-Off

Voyager Digital’s Cryptocurrency Transfers to Coinbase Spark Speculation of Sell-Off

Crypto News – Voyager Digital, a cryptocurrency lending company that recently filed for bankruptcy, has transferred significant amounts of cryptocurrency to the exchange Coinbase on August 11th. The transfers included 1,500 Ether (ETH) valued at around $2.77 million and 250 billion Shiba Inu (SHIB) tokens worth approximately $2.7 million, according to data from Etherscan.

These transactions have ignited speculation and discussions within the broader crypto community regarding their underlying motive. One prevailing theory suggests the possibility of a sell-off, as these transfers have significantly reduced the distressed crypto lender’s wallet holdings to a total of $81.63 million in digital assets.

Notably, the transfers were executed at one-hour intervals, as recorded by Etherscan. This sudden movement of tokens has led some to consider the potential for a liquidation event. However, alternative sources propose that Voyager might be consolidating its holdings from various wallet addresses into a primary address.

The suspicion of a sell-off is further reinforced by Voyager’s continuous divestment of its Shiba Inu (SHIB) holdings throughout 2023. As early as February, the company had conducted transfers totaling nearly $10 million worth of digital assets to multiple cryptocurrency exchanges in a single day.

The tokens transferred during these transactions encompassed 270 billion SHIB tokens valued at $3.2 million, 4.9 million Voyager Tokens (VGX) worth $2.1 million, 3,050 ETH worth $3 million, and 221,000 Chainlink tokens worth $1.5 million.

Following the court-approved acquisition of Voyager Digital’s assets by Binance.US, blockchain analysis platform Lookonchain revealed that the insolvent exchange had liquidated over $56 million worth of digital holdings across three cryptocurrency exchanges. Approximately three months later, Voyager engaged in a series of transactions involving the transfer of around 350 billion SHIB tokens.