Connect with us


Why Twitter Rumor Bitcoin Founder Satoshi Nakamoto Cashed Out Lowered Cryptocurrency Value

After a Twitter account suggested the creator of Bitcoin, Satoshi Nakamoto, had transferred bitcoins, the value of the market decreased.

Members of the cryptocurrency community noticed activity that they suspected belonged to the founder of Bitcoin, and as a result, the value of the cryptocurrency began to decrease. Cryptocurrency like Bitcoin, allows people to exchange tangible money digitally. The price can fluctuate, and the value of a coin depends on what the exchange rate is at the time. As a result, people can invest in bitcoins and see a profit based on the current exchange rate.

Satoshi Nakamoto is the name commonly used to refer to the founder of the decentralized digital currency, Bitcoin. Typically anonymous, trading occurs at the peer-to-peer level, leading to the suggestion it could make third-party groups, such as banks, obsolete. However, as an effect of the anonymity, the solution has sometimes been used for criminal purposes, including money laundering and ponzi schemes. Despite the anonymity, bitcoin mining exists to prevent anonymous individuals from double-spending the cryptocurrency through the use of blockchain technology where blocks store unique information in a public database.

Related: Do Crypto And Blockchain Companies Have A Sexism Problem? 

The Whale Alert Twitter account tracks large crypto transactions and recently Tweeted that someone had transferred 40 bitcoins from a dormant account to an unknown wallet. Someone mined these coins during the first month of Bitcoin’s existence. For reference, the 40 bitcoins were worth around $400,000 USD when transferred, and it is rumored the owner of the bitcoins transferred another 10 coins soon after the initial Tweet. What made this particular transaction all the more interesting is the age of the coins which led some to believe Nakamoto owned them, and that caused the value of Bitcoin to drop.

While blocks are anonymous, the coins involved in this transfer were identified as coming from one of the first accounts. Considering how few people mined bitcoins in the beginning, some inferred that Nakamoto must have been involved, especially as old coins do not often appear. With some confused and spooked at Nakamoto’s rumored appearance, panic set in and the value of the coin went down. The worry was that the value of Bitcoin would plummet if Nakamoto sold large amounts of coins. However, and as pointed out by MarketWatch, there were those who suggested the coins were mined by an unknown person, rather than the mysterious creator. In fact, arguments over the identity of the owner eventually helped to slow down the panic but not before "satoshi" went went viral on Twitter. Especially as there was no way of actually knowing. For example, even though some realized that these blocks did not follow the “Patoshi pattern” - a unique way to identify Nakamoto’s blocks - the anonymous nature of these transaction still meant it was possible the coins belonged to Nakamoto.

The coronavirus pandemic is changing the way the world works. With people struggling with finances and higher levels of unemployment, and considering these coins were mined in 2009, it might be the case the owner simply felt that it was time to move funds. However, if it was Nakamoto, then it is rather strange that the transfer was only a few bitcoins, since many suspect Nakamoto has at least one million of them. While there's no way to know for sure that Nakamoto has returned, the one thing that is clear is that one of the first people to mine bitcoins briefly made an appearance recently.

More: The Best Way To Buy Bitcoin For A Casual Investor

Source: Whale Alert/Twitter

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *


Movies4 weeks ago

The Little Mermaid is the Absolute Worst

In the wake of Frozen 2’s $1 billion haul, the debate rages on about who is the best Disney princess...

Movies2 months ago

The 30 Best Movie Trilogies of All Time

What makes a good trilogy? Well, for starters, you have to follow the same theme throughout the entire series —...

Pop Culture2 months ago

18 celebs that were on TV before becoming Movie Stars

Everyone knows that movie stars get more love than the actors on tv. Why is that? Perhaps there is truly...

Movies3 months ago

Best Female Leads in Horror Film History

From “Scream Queens” to “Final Girls” the female role has continued to evolve in the horror genre, no longer are...

Movies3 months ago

10 Overlooked Movies of the 2010s

The 2010s was a solid decade for cinema. Even with a rise of remakes, creators didn’t shy away from innovation....

TV3 months ago

10 Times Someone From Jackass Should’ve Died

As America entered the 21st Century, man reached an evolutionary peak once thought unattainable. With the invention of personal internet...

Movies3 months ago

Slow to Fast: All 9 Fast & Furious movies ranked from worst to best

Fast and furious. There are no two words that have meant so much in cinematic history. Love it, or hate...

Pop Culture3 months ago

10 Most Underrated Shows of the 2000’s

It’s a new decade in this 2020, which means we’ve said goodbye to so many shows, and we’re saying hello...

Movies3 months ago

20 Films That Will Have You Reaching For Tissues

Sincerely, how good does it feel after you weep uncontrollably? Is it wrong to find pleasure in undergoing melancholy from...

Movies3 months ago

10 worst movies with a Star-studded cast

Even the brightest stars cannot hope to lighten up the darkest nights. That goes to say that even if a...