China Selling Ethereum Causes Shock: Tweet Deleted, Truth Revealed!

While the claim that China is selling $2 billion worth of Ethereum stirred up the cryptocurrency market, the truth of the incident quickly became clear.

On-chain analysis platform Lookonchain shared on August 7 that the Chinese government sold $2 billion worth of 789,533 ETH seized from the fraud case. This news quickly spread in the market and created a chaotic effect.

According to the reports, the funds came from a wallet called “Plus Token Ponzi 2” and these Ethereums were seized by the Chinese police fighting against the PlusToken Ponzi scheme.

In fact, the Ethereums have already been sold

Analysts who examined Lookonchain’s post realized that these assets had actually been sold long ago. The analytics platform deleted the post shortly after.

Using data from @EmberCN , Wu Blockchain, led by Colin Wu, revealed that most of the 89,534 ETH were sold on Huobi via multiple addresses from June to September 2021:

Currently, only about 12 addresses have mobilized and accumulated Plus Token-related Ethereum holdings in the past 30 hours, totaling 25,757 ETH (63.1 million). According to the data, most of the Ethereum was sold in 2021.