FTX Hacker Becomes One of Biggest Ether (ETH) Holders – What Are the Risks?

In the aftermath of FTX’s bankruptcy, a hacker managed to siphon off all of the remaining funds on the exchange. After exchanging all of the stolen assets for Ether (ETH), it becomes the 36th largest whale with around 229,000 ETH. What risks weigh on the second cryptocurrency on the market?

The 38th largest whale in Ether (ETH)

Cryptocurrency exchange FTX, declared bankrupt under US Chapter 11, suffered a massive hack over the weekend. Several hundreds of millions of dollars have been siphoned off directly from user accounts.

According to the specialist company Elliptic, on the $477 million believed to have been stolen, approximately $186 million was allegedly moved into a secure storage wallet by FTX itself. The rest is still held in the hacker’s wallet.

According to on-chain data relayed by Beosin Alert, the hacker exchanged the majority of the cryptocurrencies he held for Ether (ETH). He now holds 228,523ETHworth about $288.8 million at the time of writing these lines. It makes him the 35th largest Ether holder in the world.

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In addition, the hacker carried out multiple exchanges between various blockchains over the last few days. It would seem to arbitrateand that some of his transactions allowed him to glean more than 100 ETH.

Still, a significant risk currently weighs on the second most capitalized cryptocurrency on the market. Indeed, although the market impact of such a move is difficult to measureif the hacker were to get rid of his Ether, the price of the asset could fall violently.

As of this writing, Ether is down 2.5% over the last 24 hoursas investors prepare for the worst.

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