$540M worth of Bitcoin that has been dormant since 2014 is now on the move - This Bitcoin Stock May Have a Rise

On March 29, blockchain analysts discovered a series of 11 transactions totaling 11,325 bitcoins moving from unknown wallets created in 2014, to a large number of recipient addresses. Furthermore, today's $540 million worth of Bitcoin is likely linked to the Cryptsy theft, according to onchain analytics. 11,325 Bitcoins Moved From Dormant Addresses Created in 2014, Assets May Be Linked to Cryptsy Theft A large batch of bitcoins originating from wallets created in 2014 were transferred on Tuesday and funds may be linked to the Cryptsy theft.

The now-defunct cryptocurrency exchange led by Paul Vernon lost millions of dollars in digital assets years ago at the end of 2015. Most recently at the end of January 2022, the US Department of Justice (DOJ) announced that it had charged Vernon with stealing over $1 million from cryptocurrency wallets. Vernon, also known as “Big Vern,” stole from the accounts between May 2013 and May 2015 and proceeded to deposit the stolen funds into his own bank account, the Justice Department said.

Paul Vernon gives an interview to the Miami New Times before his disappearance. The funds transferred on March 29, 2022, were derived from BTC wallets created on July 29, 2014. All 11,325 bitcoins were processed at block height 729,587, and the action was discovered by Btcparser.com and Whale Alert.

“The massive amount of active inactive (bitcoin) in previous posts is likely related to the Cryptsy hack/theft,” Whale Alert tweeted on Tuesday. Onchain analysis also shows that 11,325 bitcoins may have originated from Cryptsy, also compiled from oxt.me data. Fed seizure speculation rises, 'Big Fern' whereabouts still unknown Bitcoin stock has been dormant for more than seven years, and some people suspect the cryptocurrency may be in the hands of the US government.

The speculation stems from the recently hacked Bitfinex coins transferred this year, along with the recent Justice Department indictment of “Big Vern.” However, unlike the Bitfinex hack coins that were consolidated to a single address, transfers processed at block height 729,587 were sent to a wide range of addresses. The Bitcoin address 1LwZYCt8dDhZDMd6uXGMwVsmWPXW9eX9Ww shown above is one of the addresses from 11,325 stored bitcoins that were transferred on March 29, 2022.

For example, this account sent 1,000 BTC to 59 different recipients. This address sent 1,325 BTC to 78 recipient addresses on Tuesday afternoon around 6:30 p.m. (UTC).

At the time of the transfer, 11,325 bitcoins were worth $540 million using today's BTC exchange rates. Although the Department of Justice has indicted Vernon, the former Cryptsy CEO remains on the run and no one knows his whereabouts. In 2016, the Miami New Times published an investigative report that said Vernon and his girlfriend retreated to China.

That was according to Vernon's wife at the time, and after that report, Vernon allegedly spoke with the Miami New Times in an exclusive interview. According to “Big Vern,” before the alleged interview, 13,000 bitcoins were stolen from the exchange. The exchange also said it lost 300,000 litecoin (LTC) as well.

“We have shut down the site and declared bankruptcy, allowing users to file claims through the bankruptcy process and allowing the court to make payments,” Cryptsy’s announcement said at the time. “Or, someone else comes along to buy and operate Cryptsy while also benefiting from the required withdrawals.” None of the above promises came to fruition, and the 11,325 BTC transferred Tuesday afternoon may be linked to the 13,000 BTC stolen from Cryptsy customers.