Justin Sun’s operations on the chain have attracted much attention, and every move of his wallet has received continuous attention.
Public project information and on-chain data show that the wallet associated with Justin Sun has been active since February, becoming the first in Puffer Finance points and the first airdrop recipient of EigenLayer, and deposited 120,000 eETH into the Ethereum liquid re-staking protocol Swell L2 in April, with a value of up to US$376 million. It is worth noting that this eETH deposit accounts for 46.6% of the total deposits of Swell L2.
According to statistics from on-chain analyst Yu Jin, Sun Yuchen's related addresses hold a total value of crypto assets of approximately US$4.165 billion. In terms of large purchases, from December 26, 2023 to April 24, 2024, Sun Yuchen purchased a total of 323,799 ETH through CEX withdrawals and on-chain purchases, with a total value of approximately US$1.0248 billion and an average cost of US$2,942. This move is seen by the market as a positive sign for the future price of Ethereum.
This article reviews Justin Sun’s recent on-chain operations, revealing how this crypto whale accumulates wealth on the chain and what he purchased.
Frequent on-chain activity: $376 million worth of eETH deposited into Swell L2
Justin Sun has recently shown a keen interest in re-staking projects in the Ethereum ecosystem and has actively participated in four re-staking projects, including Swell L2, Ether.Fi, EigenLayer and Puffer Finance.
The latest developments show that Justin Sun is deeply involved in the re-pledge protocol Swell L2. According to AI monitoring, an address associated with Justin Sun deposited 120,000 eETH worth $376 million into Swell L2 on May 5. These eETH are the certificates obtained after depositing ETH into the EtherFi liquidity re-pledge protocol. As of May 6, the total deposit volume of Swell L2 has reached $936.45 million, with 34,378 depositors, and Justin Sun's personal pledged funds account for 46.6% of the total deposit volume.
Swell L2 is a Layer 2 Rollup chain that will be launched in the third quarter of this year. When Swell L2 is launched, depositors in the pre-launch phase will receive SWELL airdrops to obtain airdrops for future protocols built on Swell L2.
In addition, Justin Sun also interacted with Ether.Fi and deposited 120,000 ETH 5 days before the end of the Ether.Fi airdrop event, receiving 22,000 ETHFI worth $105,000. As of May 6, the wallet held 48,374.30 ETH.
In addition to participating in Swell L2 and Ether.Fi, Justin Sun also became the top airdrop recipient of the EigenLayer project on April 30, collecting a total of 3,559,570 $EIGEN. Assuming the fully diluted market value of the Eigenlayer project is about $15 billion, the price of $EIGEN may reach around $10, and these recipients will earn millions of dollars.
The fourth re-staking project that Sun Yuchen recently participated in is Puffer Finance. According to the official website of Puffer Finance, the pledge amount of this project has exceeded 1 billion US dollars, and there are more than 200,000 participating addresses, among which Sun Yuchen ranks first in points. Puffer Finance is the first native liquidity staking agreement on the EigenLayer platform. Sun Yuchen's operation amazed the community: "Is this how Sun brother grabs airdrops?"
Justin Sun’s frequent on-chain operations in the staking and re-staking areas have caused heated discussions in the community. In response, Justin Sun responded on April 30, sharing his vision for staking and re-staking. He emphasized the growth potential of these actions and their ability to attract global attention.
He said: "Restaking and staking business has experienced long-term development and has achieved very fruitful results. In the future, we will also split out an independent brand, an independent operating entity, and independently operate to help empower the staking business of all blockchains. We will also raise external financing and accept investment from top international investment institutions. The group's profits will also feed back to users, developers, and communities for common prosperity and co-construction!"
In addition to these on-chain staking activities, the community also rumored that Justin Sun participated heavily in the staking of the Bitcoin Layer 2 project Merlin. Although this has not been confirmed, both HTX and TRON under his control have reached cooperation with Merlin.
About $1.0248 billion of ETH was purchased in 6 months
Sun Yuchen not only invested a lot of assets in the re-staking track, but also frequently transferred assets on the chain and purchased ETH. On-chain analyst Yu Jin analyzed Sun Yuchen's asset transfer activities during the bull market. First, he destroyed 100,000 ETH between December 7, 2023 and January 30, 2024.
1 billion TUSD, which may be affected by Binance no longer supporting the use of TUSD for new coin mining. Then 2.1 billion USDT was minted between December 9, 2023 and February 23, 2024.
Most of these minted USDTs flowed into Binance, with a total of 2.525 billion USDT transferred to Binance between December 9, 2023 and April 3, 2024.
As USDT flowed into Binance, Justin Sun began to continuously purchase ETH and transfer it to his Ethereum wallet.
After analysis, from December 26, 2023 to April 24, 2024, Sun Yuchen purchased a total of 323,799 ETH through CEX withdrawal and on-chain purchase, with a total value of approximately US$1.0248 billion and an average cost of US$2,942. According to Ember Analysis, as of April 23, Sun Yuchen held a total of approximately US$4.165 billion in assets through multiple TRON and Ethereum addresses, of which the top three were 598,900 ETH (worth US$1.902 billion); 5.364 billion TRX (worth US$602 million); and 458 million USDD (worth US$458 million).
On May 1, Justin Sun's staged ETH bottom-fishing seemed to end. According to AI monitoring, within 5 hours, Justin Sun's two associated addresses began to withdraw USDT from Binance, with a total of 67.65 million USDT transferred out, of which 30.37 million were deposited back to JustLend.
Sun recently said that it is unlikely that an Ethereum spot ETF will be approved in May because the cryptocurrency needs a "long education" with regulators. Nevertheless, Sun's large investment in Ethereum has sparked speculation about the price trend of Ethereum. As Sun holds a large amount of ETH, investors expect a positive shift in market sentiment, which may drive Ethereum prices into a recovery phase.
In general, Sun Yuchen's frequent on-chain asset transfers and target purchases have attracted widespread attention from users. According to data from blockchain intelligence platform Arkham, as of May 7, Sun Yuchen's crypto wallet held a total value of $1.085 billion, ranking first in the personal on-chain crypto asset holdings, surpassing Rain Lohmus, founder of LHV Bank, and Vitalik Buterin, co-founder of Ethereum. His assets mainly include $280 million in USDD, $253 million in TRON native tokens TRX, $124 million in BTT, $92.79 million in BTC (1,457 pieces), $11.14 million in SHIB, $6.62 million in WIN, and $3.85 million in FLOKI.