Key Points:
Arkham has confirmed that the Bitcoins allegedly belonging to the US government in the transactions were found to be false.
The US government’s suspected sale of such a significant quantity of Bitcoin produced a ripple effect in the market, with values plummeting in minutes.
This is not the first time that the US government has been reported to have sold Bitcoin.
According to Arkham Intelligence, it has not seen any Bitcoin transactions from US government-related wallets, as reported on Twitter this morning.
Beetle (@1kbeetlejuice) stated on Twitter that “[US government] Bitcoin wallets on the move” are based on Arkham data.
ZachXBT, an Arkham official and on-chain investigator, verified that the US government’s Bitcoin had not been moved. At the moment, the KOL has removed the relevant tweets and said that the previous Arkham warning was a personal mistake signal.
“Don’t see anything on our end,” he said.
The problem seems to have arisen as a result of community labeling. Users might manually add labels to wallet addresses and change data sets known as Entities, according to Arkham.
According to the company, such manual adjustments do not represent associations created by Arkham. It said that it has only identified seven Bitcoin wallets as linked to Silk Road, the darknet bazaar from which the US had confiscated specific cryptocurrency addresses.
It first confessed to making errors but then disputed all charges and claimed that no users got misleading alerts. Several comments noted that the alert might have been generated by a non-standard event on transactions without any real transfer of cash.
The information was mistakenly published at the same time as Bitcoin’s big price decline. In one hour, the price of Bitcoin fell 6% to roughly $27,000 from $29,440. Arkham Intelligence feels that there is now insufficient information to infer that the aforementioned factor contributed to the drop in BTC.
In late April, db claimed that a government crypto fund was en route based on similar data.
