The bitcoin network has been criticized in the past due to its inefficiency as a payment system but in regards to low fee transfers, the flagship cryptocurrency takes the cake when compared to legacy payment systems.
A crypto whale just moved an eye-popping amount of bitcoin (BTC) valued at around $700,000,000 and paid less than $1 for the transfer.
Whale Transfers $700M For Just 26 Cents
Crypto analyst The Moon brought attention to a recent giant transfer on the bitcoin network. He observed that at least 106,000 BTC valued at around $700 million was transferred for only $0.26.
Per the data relayed by Blockchain.com, the owner paid 0.00003935 BTC to be exact, which translated to 26 cents in USD at the time. Needless to say, the owner would have been charged a much higher fee to transfer the funds if they had used, let’s say, Western Union or a bank.
In addition, BTC transfers are seamless and less time-consuming as no personal identification details are required and neither is the owner expected to wait for days before the transaction is cleared by a financial overseer.
Granted, such a massive whale transfer often rouses fears of a possible dump if the coins end up on an exchange. Crypto observers were quick to speculate that a pullback in BTC price was in order as soon as this transfer was made. However, this looks highly unlikely.
Notably, Whale Alert, a crypto transaction Twitter bot also highlighted this mammoth transaction yesterday. After noting that the transaction stirred a bit of confusion as to where the BTC was coming from, Whale Alert clarified that it was an in-house transfer made by Xapo Holdings Limited, a firm in Hong Kong that provides crypto custody services. Put simply, the crypto wallet provider was probably just reorganizing its funds. Therefore, this 106,000 BTC is not going to end up in any exchange as the BTC consignment was only moved between Xapo’s addresses.
BTC is changing hands at $6,645.05 at press time, up 6.04 percent on a 24-hour adjusted timeframe. The low fees on the bitcoin network are undeniably a financial marvel.