Analysis: 15,700 ETH related to PlusToken were transferred recently, which may indicate nearly $1.3 billion in ETH selling pressure

Previously, about 7,000 ETH of the 542,000 ETH (nearly $1.3 billion) seized from the PlusToken scam were sent to exchanges. OXT analyst ErgoBTC said: "The current ETH distribution follows the same attempted obfuscation pattern as BTC in 2019, and $1.3 billion in ETH may be sold entirely in the future." PlusToken defrauded more than 2.6 million people in 2018 and 2019, and local police seized more than $14 billion worth of BTC, ETH and seven other cryptocurrencies in the crackdown. A court document seen by ErgoBTC shows that the seized cryptocurrencies were handed over to Beijing Zhifan Technology Co., Ltd., which sold the assets and converted them into cash for compensation. It said that the "vast majority" of BTC (worth about $1.3 billion) was sold between 2019 and 2020. Meanwhile, around 542,000 ETH ($1.29 billion) remained untouched in thousands of mixed addresses until August, when the assets were redistributed to 294 new addresses. On Tuesday, around 15,700 ETH was moved from these addresses in a mixing process similar to that in 2020 and 2021. According to ErgoBTC, around 7,000 ETH was sent to a “handful” of exchanges, including Bitget, Binance, and OKX. ErgoBTC said: “Given the recent re-mixing of ETH, the active allocation of 15,700 ETH moved yesterday is unlikely to be the last of the 540,000 ETH supply allocation. This recently observed behavior has created a new and unexpected supply glut for Ethereum.” (The Block)