Explaining the Wallets

So, I was posting the Bitfinex Cold Wallet in my Telegram/Twitter, and a good friend of mine asked me, ‘What do you mean by this exactly?’

That’s when I realized that I had really done a poor job of explaining these wallets and their significance in the cryptosphere. So, I’m going to do a little of that right now.

Bitfinex Cold Wallet

To be specific, the wallet in question was: 3D2oetdNuZUqQHPJmcMDDHYoqkyNVsFk9r

How Do You Know Which Wallet Belongs to Who?

Via a variety of methods. Sometimes through public disclosure, most of the time through deductive reasoning (it’s not too hard, honestly).

If you aren’t familiar with the site ‘bitinfocharts’, it’s time to start!

Here’s a link where you can find the T100 richest wallets in crypto:


The vast majority of these wallets, as you’ll see, belong to exchanges. The great part about this list is that bitinfocharts has an accurate record of most of them.

Click on the picture to expand it.

In Terms of the BFX Wallet..

I covered them specifically because they are now the #1 richest wallet on the face of the planet. This is not an opinion and there are not other wallets that we are searching for. We know of all wallets that have ever been created in the Bitcoin protocol. So, we can say, without equivocation, that this is definitely the richest wallet on planet earth.

What was that address again?


So, this is the wallet for Bitfinex (the exchange). Where they store all of their bitcoins.

Source: https://blockchain.info/charts/balance?address=3D2oetdNuZUqQHPJmcMDDHYoqkyNVsFk9r

Here’s a screenshot as an example.

When you see less Bitcoin, that means that they’ve been sending them out. When there’s more Bitcoin, that means that they’ve been receiving more.

As you can see lately — they’ve been dumping Bitcoin out of the wallet. En masse.

So, a massive dump of 16k bitcoins in the last week or so (from 202,103 to 186,269 bitcoins — you do the math).

What Did They Do With That Bitcoin?

It’s anybody’s guess.

Maybe it’s just them moving the coins from the cold wallet to an exchange hot wallet to fuel the additional buyers.

However, there were a shitload of BTC that were accumulated during the run up as well.

So, who knows?

Maybe they’re dumping or fighting bulls. It’s truly anyone’s guess.

Where Are The Bitcoins Going To?

Even that information is difficult to figure out. Sometimes new wallets will be created with the Bitcoin that is sent there. Coin control is a potent factor as well (we’ll get into that in an entirely different article). Sometimes the coins are mixed. Despite the fact that bitcoin are fungible, there is no way to truly know unless each constituent element of the said Bitcoin (10^-8=1 sat=smallest denomination of bitcoin) is tracked, and that would take more time than it would ever be worth.

source: https://bitinfocharts.com/bitcoin/address/3D2oetdNuZUqQHPJmcMDDHYoqkyNVsFk9r

What’s most interesting is the fact that Bitfinex has been able to rise from the rank of #59 all the way to #1 in the space of just a year.

This is the briefest of brief summaries that I can give on the issue.

We’ll discuss this much more in-depth in the future.

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