Alameda Research Wallets Reactivate, Transfer Millions In FTX Tokens, Sparking Community Concern

The crypto community was taken by surprise Tuesday when wallets associated with the now-bankrupt Alameda Research were once again active, transferring millions of dollars in FTX FTT/USD tokens.

The source of these funds and how they were accessed has become a major point of concern, causing many to question the actions of law enforcement agencies, according to a Cointelegraph report.

The Alameda wallet address "brokenfish.eth" transferred nearly $2 million in FTT tokens from the BentoBox smart contract on SushiSwap.

The smart contract, which serves as the central vault for the entire Sushi ecosystem, was previously overseen by former FTX CEO Sam Bankman-Fried.

The "Alameda Research 4" wallet bought over 1 million FTT, valued at roughly $2.3 million, in the $1.86 to $1.87 range, and also opened a loan position on Abracadabra.

This wallet is mortgaging 73,000 FTT and $31,000.

Some believe that the movements of these funds are tied to the ongoing bankruptcy proceedings and that the court-appointed CEO of FTX, John Ray III, sanctioned the transactions, the report said. 

Also read: Court Proceedings Reveal FTX Being Advised By This Cyber Security Company After $600M Hack In November 2022

Ray III has made it clear that he intends to seize control of the assets of FTX and its subsidiaries in order to pay off its debts.

FTX announced in January that it discovered over $5.5 billion in liquid assets, with more than $3 billion owed to its top 50 creditors.

This was not the first time that Alameda-linked wallets made significant transfers in February.

On Feb. 2, Blockchain security firm PeckShield reported the "Alameda Consolidation" address had received $13 million in crypto assets from three different wallets.

One of these wallets belonged to the cryptocurrency exchange Bitfinex and transferred approximately $8.5 million in Tether USDT/USD and Ether ETH/USD

The other two unidentified individuals transferred approximately $6 million in USD Coin USDC/USD to the Alameda Consolidation address.

#PeckShieldAlert ～$13M worth of cryptos have been transferred to Alameda consolidation-labeled address, including ~6M $USDT & 1,545 $ETH ($2.5M) from Bitfinex, ~4.6M $USDC from 0x7889
Wondering why Bitfinex transferred ~$8.5M worth of cryptos to Alameda consolidation address pic.twitter.com/YU8RNcrdxs

— PeckShieldAlert (@PeckShieldAlert) February 2, 2023

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