'Mysterious' Address That Added 10K Bitcoin Is Just a New BitMEX Wallet

BitMEX is internally transferring its bitcoin holdings to a newer wallet type, according to on-chain firm CryptoQuant.

AccessTimeIconNov 30, 2023 at 10:38 a.m. UTC
Updated Mar 9, 2024 at 1:54 a.m. UTC
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A new wallet address that went from zero to holding over 10,000 bitcoin (BTC) since the start of November has been identified as belonging to crypto exchange BitMEX.

The rapid accumulation led to speculation it could be a new entity buying bitcoin, especially amid a flurry of spot bitcoin exchange-traded fund (ETF) filings in the U.S.

On-chain analytics firm CryptoQuant told CoinDesk in a Thursday note that the address, bc1qchctnvmdva5z9vrpxkkxck64v7nmzdtyxsrq64, was a new one for the BitMEX exchange’s cold wallet, or a type of custody that isn’t connected to the internet.

A 566 BTC transfer was the biggest single transfer. The address appears on BitMEX’s latest proof-of-reserves holdings published on Nov. 28. CryptoQuant has previously labeled the sending addresses as belonging to BitMEX.

“This new address received the Bitcoin from a total of 450 addresses,” CryptoQuant said. “These addresses also appear on BitMEX’s Proof-of-Reserves report and have the characteristic bc1qmex prefix.”

BitMEX was probably conducting an internal transfer because it is migrating most of its bitcoin holdings from the 3BMEX format to addresses with format bc1qmex, the firm said. There are also Bitcoin addresses that start with “bc1q” that support SegWit, a type of bitcoin transaction, natively, allowing more efficient transactions that can pay lower fees.

As of Thursday, the wallet was the 74th largest holder of bitcoin, according to Bitinfocharts.

Edited by Sheldon Reback.


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Shaurya Malwa

Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.

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