Oldest Bitcoin Holders Start Selling; FTX court reveals that SBF took a $1 billion loan from Alameda


The biggest news in cryptocurrency on November 17th included the upward selling trend of Bitcoin holders over 10 years, SBF’s $1.6 billion private loan from Alameda Research, and the emergence of Bitcoin and Ethereum as the second and third most shorted crypto assets.

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Who sold the most BTC after the FTX collapse? 10-year owners sell at the highest rate

The collapse of FTX put a lot of pressure on investors, while the price of Bitcoin (BTC) fell to $15,000.

To discover where the selling pressure is coming from, CryptoSlate analysts examined short-term (STH) and long-term holders (LTH).

STH and LTH spot volume
STH and LTH spot volume

History shows that LTH is the first company to sell its coins when the numbers start to fall, the turmoil after the collapse of FTX did not shake the confidence of long-term holders.

Instead, the market recorded the fifth largest seller of STH since March 2021, with nearly 400,000 bitcoins sold by STH between November 10 and November 17.

FTX bankruptcy court reveals Alameda loaned $1.6 billion to SBF.

A lawsuit by new FTX CEO John Ray III revealed that Sam Bankman Fried (SBF) took a $1 billion personal loan from Alameda Research.

Ray called the situation “a complete failure of corporate control and even a complete lack of reliable financial information.”

The document also revealed that Alameda loaned $543 million to FTX engineering director Nishad Singh and $55 million to FTX CEO Ryan Salame.

FTX crash sees Bitcoin, Ethereum short the second and third largest amounts

After the collapse of FTX, Ethereum (ETH) became the second shortest-lived cryptocurrency on the market, followed by Bitcoin.

Long positions pay periodically, while short positions pay when the interest rate turns positive, based on the average funding rate set by exchanges for standing futures contracts. Recent deep negative stock rates indicate an impending depression before markets begin to recover.

Genesis requested a $1 billion emergency loan, but never received it

The cryptocurrency startup sought a $1 billion emergency loan from investors but never got it, the Wall Street Journal reported.

Genesis is seeking funds due to a “liquidity crunch due to certain illiquid assets on its balance sheets,” the reports said.

The FTX attacker continues to exchange tokens; BUSD exchanges $7.95M BNB for ETH

The FTX attacker kept his hands busy on November 17th, spending nearly $600 million in one day. In three transactions, they exchanged 30,000 BNB tokens for Ethereum and Binance USD (BUSD).

The operator currently holds $11.8 million in BNB and ETH, which is roughly $346.8 million at current price levels.

President Bukele announced that El Salvador will receive 1 Bitcoin daily

The President of El Salvador, Nayib Bukele, has announced that the country will start buying one Bitcoin per day starting November 18.

El Salvador has come under heavy criticism for its Bitcoin investments. However, the country did not cave and continued to express its confidence in cryptocurrency. El Salvador spent over $100 million to acquire the 2,381 bitcoins it currently holds.

Mainstream media called for coverage of Sam Bankman-Fried’s “good guy” narrative

The cryptocurrency community reacted to mainstream media outlets for publishing articles favoring SBF, even after the collapse of FTX.

The community recalled the arrest of Tornado Cash developer Alexey Pertsev and expressed disappointment at the release of SBF.

The circle reduces the rates of return to 0%

USD Coin (USDC) issuer Circle has lowered its yield product’s APY to 0%, saying the yield product is highly collateralized and backed by “sound collateral agreements.”

An announcement on Circle’s official Twitter account also detailed its ultra-secured fixed income product.

Singapore’s Temasek Writes $275M FTX Investment, Misplaced Confidence in Sam Bankman-Fried

Singapore-based investment fund Temasek said it had canceled its $275 million investment in FTX, misplacing its “confidence in actions, judgment and leadership” in SBF.

The company said:

“The thesis for our investment in FTX was to invest in a leading digital asset exchange that provides us with a fee income model and protocol agnostic and market neutral exposure to the cryptocurrency markets with no trading or balance sheet risk.”

News from around the Cryptoverse

Research Emphasis

Research: 78% of all distributed ETH is between 4 centralized providers; 74% of all blocks are OFAC compliant

CryptoSlate analysts examined Ethereum chain data and found that approximately 78% of all staked Ethereum is scattered among four centralized providers.

Provider-staked Ethereum
Provider-staked Ethereum

Lido (4.5 million), Coinbase (2 million), Kraken (1.2 million), and Binance (1 million) currently hold 8-9 million Ethereum.

Almost 75% of all Ethereum blocks are considered OFAC compliant. 15% of all blocks produced by Ethereum are still not OFAC compliant, and the remaining 11% are non-MEV-Boost blocks.

Crypto market

Over the past 24 hours, Bitcoin (BTC) has traded up 0.58% to $16,678, while Ethereum (ETH) has traded down 0.73% to $1,202.

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