Amid growing concerns over a suspected hack of the Coldcard wallet, there has been a significant surge in small-value Bitcoin transfers, reaching the highest level since the FTX collapse. The market is once again debating the security of Bitcoin self-custody. Julio Moreno, Research Director at CryptoQuant, revealed that the number of Bitcoin transactions under 1 BTC has risen to its highest level since November 2022, with approximately 39,600 BTC transferred in a single day—just 300 BTC below the record of 39,900 BTC set on November 16, 2022, days after FTX filed for bankruptcy. He views users proactively taking measures to mitigate risk as a positive sign. Additionally, Eric Balchunas, Senior ETF Analyst at Bloomberg, believes that Bitcoin ETFs, with their mature regulatory framework and convenience, may offer a safer investment option for some users.
Bitcoin small transfers reach peak levels during FTX collapse amid Coldcard security incident
TechFlowShare
Summary
Bitcoin small transfers reached a post-FTX high during the Coldcard security incident, with daily transfers under 1 BTC hitting 39,600 BTC, according to CryptoQuant’s Julio Moreno. This is the highest level since November 2022, just 300 BTC below the record set after FTX’s collapse. Moreno views the surge as a positive, user-driven trend. Meanwhile, Bloomberg’s Eric Balchunas noted that Bitcoin ETFs may provide a safer option for investors, especially as BTC is increasingly seen as a hedge against inflation. The rise in small transfers also aligns with CFT (Countering the Financing of Terrorism) initiatives, as more users choose secure, compliant platforms.
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