Ethereum Wallets Linked To Defunct Alameda Research Shows Odd Activities

Data analytics company Nansen has identified an odd activity of Ethereum wallet addresses linked to the defunct trading firm Alameda Research. The data reveals that with the help of the mixers FixedFloat and ChangeNow, a large number of Ethereum tokens were combined into two major wallets, exchanged for ETH and USDT, and then delivered to multiple wallets.

1/ Lots of activity going on among Alameda wallets in the past 6-7 hours
Various tokens on ETH being consolidated into 2 main wallets
Swapped to ETH/USDT (USDC to USDT too)
USDT thn swapped to ETH
Sent to multiple wallets and thn to FixedFloat/Changenow
Source: @nansen_ai https://t.co/NfTe9CoY9K

Crypto mixers allow users to obfuscate the flow of crypto by making it difficult to identify who owns which currency, where they came from and where they’re going. 

It does this through a process called mixing or tumbling, which combines different sources of cryptocurrency together in order to make them harder for authorities or thieves to track.

Etherscan’s data shows that after these transactions, which took place on Wednesday morning, USDT and ether were exchanged for Bitcoin. Before bridging to the Bitcoin network, these Alameda-linked wallets traded Lido, Polygon, Uniswap, and other tokens for Ethereum and USDT.

The money is being pooled in four bitcoin accounts, according to crypto investigator ZachXBT. Additionally, it shows that 47.6 BTC, or almost $800,000, are stored among these wallets in total.

@ErgoBTC The funds are being swapped for BTC
bc1q67r2dc46ve66pe2qr9smaz5ktzefehugky5sv6
bc1qk4mnz4qkh9vfcm95z6ww9czhzjsknjr8s457mg
bc1qwx3herf245w6k9ljjfgdsngtvjsp3qs6znp8dd
bc1q7p22k0ly0pmy04ermzu76uyylveehu9cusrcnp https://t.co/ueYLjQOalZ

SBF’s Bail & Alameda’s Ethereum Transitions

Since millions of dollars were stolen from the exchange wallets shortly after FTX declared bankruptcy on November 11, the ongoing fund transfers from Alameda wallets coincided with SBF’s release on bail.

As TronWeekly reported today that the US Department of Justice also started an investigation into the $370 million FTX exploit. Some of the stolen funds had been successfully frozen by US authorities. But just a minor fraction of the total is made up of frozen assets.

Concern regarding the bail conditions is raised. Some of them asked why the former CEO’s bail conditions banned him from having access to computers or the internet when he was frantically attempting to get money out.

@ErgoBTC @zachxbt sam desperately trying to funnel money out. why did his bail condition not include no computer/internet access?

However, the community is interested in the transfer of funds from Alameda wallets, but they were more interested in how these funds were transferred and for what.

Given SBF’s recent fraud history, many people speculated that the way these monies are being transferred might be an insider’s job. While others thought that it might be an exploiter scheme.