A cryptocurrency wallet reportedly tied to the now-defunct FTX exchange and Alameda Research redeemed 177,693 SOL tokens, valued at nearly $24 million, from the Solana Proof-of-Stake (PoS) network.
SOL Withdrawn from Solana Network
According to information, the wallet identified as H4y...gFZ redeemed 177,693 SOL (approximately $23.75 million) from Solana PoS staking and may transfer the tokens to a centralized exchange (CEX) in the future. As per Solscan, the H4y...gFZ address currently still holds up to 7.057 million SOL (approximately $943 million) in staking.
FTX’s Connection to Solana
Before its collapse in November 2022, FTX was closely linked to the Solana blockchain, holding vast amounts of SOL tokens. The exchange’s bankruptcy led to a sharp decline in the value of Solana, which dropped as low as $8 per token following the fallout. Since then, FTX has been gradually reducing its SOL holdings, with earlier reports indicating that some of the assets were offloaded through over-the-counter (OTC) transactions to avoid market disruptions. The unstaking of 177,693 SOL this week mirrors previous withdrawals by the same wallet. In November 2023, the wallet unstaked $67 million worth of SOL, transferring it to Coinbase. Further, December 2023 saw another $90 million worth of SOL unstaked and similarly sent to the exchange. It remained unclear whether those tokens were sold immediately or were part of the company’s restructuring efforts.
Legal Proceedings Around FTX
FTX’s bankruptcy and the subsequent investigations into its top executives have kept the exchange in the headlines, even as it winds down operations. Caroline Ellison, the former CEO of Alameda Research and close associate of Sam Bankman-Fried, is scheduled to be sentenced on September 24 for her role in the company’s collapse. Ellison had previously struck a plea deal, accepting all criminal charges, which are tied to the financial mismanagement and downfall of FTX.
The recent actions involving the withdrawal of SOL from the Solana network continue to fuel interest in the cases related to FTX and Alameda Research, as well as the investigations concerning their top executives.
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