The Ethereum Initial Coin Offering (ICO), which took place in 2014, represents one of the most important events in cryptocurrency history. Since the network had not yet started generating tokens autonomously, the ICO event allowed early investors and enthusiasts to accumulate ETH, currently the second-largest cryptocurrency by market capitalization.
The latest on-chain data shows that one of the ICO participants became active for the first time in over eight years, transferring its pre-mined supply of Ether tokens to different addresses on Saturday, October 21.
💤 A dormant pre-mining address with 2,000 #ETH (3,198,920 USD) just activated after 8.2 years!https://t.co/0Mpx77N5fs
— Whale Alert (@whale_alert) October 21, 2023
Ethereum ICO participant wakes up from dormancy
According to blockchain data tracker Look at chain, the address, which was part of the Ethereum Genesis, initially received 2,000 ETH more than eight years ago. At the time, the Ether tokens were purchased for $620 at an ICO price of $0.31 per token. On Saturday, the ETH tokens in question changed wallets for the first time.
A #Ethereum #ICO participant woke up after 8.2 years of rest and transferred all 2,000 $ETH($3.2 million currently) to 4 addresses 10 minutes ago.
He/she received 2,000 $ETH(the fee is ~$620) at Ethereum Genesis, and the ETH ICO price is ~$0.31.https://t.co/zyMsEZIlb3 pic.twitter.com/juvlKCnIsW
— Lookonchain (@lookonchain) October 21, 2023
The wallet containing the pre-mined supply of ETH was inactive for exactly 8.2 years (July 2015). Thanks to the exponential growth of Ethereum and the entire crypto market, the value of these assets has grown to almost $3.2 million at today’s price.
In the X (formerly Twitter) post, Lookonchain highlighted that the ICO participant transferred the Ethereum tokens to four different addresses. About 500 Ether tokens were sent to each address, with minutes between transactions.
It remains to be seen whether the wallet owner prepares to sell the tokens, invest in the network, or conduct other transactions. However, in the event of a sell-off, the price of ETH may experience temporary downward pressure.
Large transfers from early ICO participants are not exactly common, but a number of similar transactions have already taken place in 2023. Notably, one ICO participant moved $116 million worth of pre-mined ETH to a Kraken exchange address in July.
ETH price overview
At the time of writing, Ethereum’s price stands at $1,605, reflecting a decline of 0.7% in the past day. This comes after a week in which ETH’s value showed signs of recovery, with its price rising 3.8% in the past seven days.
The past week has been dominated by Bitcoin’s bullish performance and the fake news of a spot ETF approval. However, this positive run of BTC ultimately rubbed off on the broader cryptocurrency market, including the price of Ethereum.
Ethereum price hovers around the $1,600 mark on the daily timeframe | Source: ETHUSDT chart on TradingView
Featured image from The Economic Times, chart from TradingView