Following the launch of Project Galaxy on Thursday, profitable cryptocurrency traders have taken a large position in GAL, the Web 3 credential data network’s governance token, data from blockchain analytics firm Nansen suggests.
In the past 24 hours, "smart money" wallets have scooped up roughly $4 million worth of GAL, more than any other token monitored by the firm.
Nansen has compiled lists of top 100 addresses in terms of estimated profits of their current NFT (non-fungible token) portfolios and top 100 addresses based on an internal “hodler score metric.” Using these metrics, Nansen considers a wallet to be “smart money” if it is “historically profitable,” meaning it meets at least one of several conditions, including:
- Making at least $100,000 by providing liquidity to decentralized finance (DeFi) protocols, SushiSwap and Uniswap, excluding so-called impermanent losses.
- Having at least more than or equal to five times in realized profits on multiple NFT collections that were minted in the last 60 months.
- Having made multiple trades on decentralized exchanges in a single transaction that are profitable.
- Belonging to an investment fund that invests and manages money in crypto.
According to Project Galaxy’s documents, “GAL token holders have the ability to control the amount of the platform fee collected by the protocol, and control funds held by the Project Galaxy Community Treasury.”
Interestingly, the top six GAL transactions showed the same multisig sending tens of millions of GAL tokens to six different token vesting contracts. 0x0B31 received 16.4 million GAL tokens, roughly $250 million, while 0x8793 received 35.2 million GAL tokens worth about $550 million, the highest amount of GAL sent from the six transactions.
Meanwhile, smart money wallets have been letting go of their APE. In the past 24 hours, $1.1 million worth of APE has left their wallets. Typically, outflows are a harbinger of decreasing asset prices; APE has dropped 16.2% in the past 24 hours.
Nansen is one of many firms that parse publicly available information about crypto transactions, although unlike Chainanalysis and similar firms, its services are geared toward giving investors an edge rather than helping law enforcement catch bad actors.
While cryptocurrency addresses appear on public blockchains as random-seeming strings of letters and numbers, Nansen uses algorithms, its own investigations and information submitted by users to draw inferences about the entities behind pseudonymous wallets.
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