TLDR
- FTX/Alameda-affiliated wallet redeemed 177,693 SOL tokens worth $23.75 million from Solana’s PoS network
- The wallet still holds 7.057 million SOL worth $943 million in staking
- FTX is preparing to repay distressed investors, potentially expediting Solana sales
- Pantera Capital aimed to raise $250 million to buy discounted Solana from FTX
- Solana’s price remains stable at around $135, up 35% since the start of 2024
A wallet affiliated with the bankrupt crypto exchange FTX and its sister company Alameda Research has redeemed 177,693 Solana (SOL) tokens from the blockchain’s Proof-of-Stake network.
This transaction, valued at approximately $23.75 million, has caught the attention of market observers and Solana investors alike.
The redemption comes as FTX prepares to begin repaying its distressed investors in the fourth quarter of 2024, following a court order to repay up to $16 billion in credit.
Despite this substantial unstaking, the FTX wallet still holds a significant position in Solana, with 7.057 million SOL tokens, worth about $943 million, remaining staked on the network.
This move has raised questions about potential market impacts, given FTX’s status as one of the largest holders of SOL coins. The cryptocurrency experienced a price crash following FTX’s bankruptcy in November 2022, highlighting the interconnectedness of the two entities.
FTX/Alameda associated wallet H4y…gFZ redeemed 177,693 SOL (US$23.75 million) from Solana PoS staking today, and may transfer SOL to CEX in the future. H4y…gFZ address currently still has up to 7.057 million SOL (US$943 million) in staking. Most of the SOL held by FTX may…
— Wu Blockchain (@WuBlockchain) September 12, 2024
However, industry experts suggest that a large portion of FTX’s SOL holdings may have already been sold through over-the-counter (OTC) transactions to minimize market disruption.
Pantera Capital, a prominent cryptocurrency investment firm, has expressed interest in acquiring Solana tokens from FTX at a discounted rate. The company aims to raise $250 million from investors to purchase SOL at a 39% discount from its market value, indicating continued institutional interest in the asset despite the FTX situation.
Despite the recent unstaking activity, Solana’s price has remained relatively stable. As of the latest data, SOL is trading at $135, representing a 1.93% increase, with a market capitalization of $63.57 billion. The token has shown strong performance in 2024, with a 35% increase since the beginning of the year and an impressive 650% gain over the past 12 months.
The cryptocurrency community is closely watching these developments, particularly in light of upcoming events such as the scheduled hearing for former Alameda CEO Caroline Ellison on September 24. Her cooperation and testimony may influence the legal proceedings surrounding the FTX collapse.
FTX’s strategy for liquidating its Solana holdings appears to prioritize minimizing market impact. The exchange is expected to continue selling its SOL assets through OTC desks rather than on open markets, which could help maintain price stability.
The broader Solana ecosystem has shown resilience in the face of these challenges. Recent developments, such as the approval of spot Solana ETFs in Brazil, indicate growing institutional adoption and could potentially offset any negative pressure from FTX-related sales
