Mt. Gox hacker sells 2,300 BTC! Remaining 360 million USD in chips may cause a dump

Wallets related to the 2014 Mt. Gox exchange hacker incident have sold over 2,300 Bitcoins since November 2025, transferring 110 BTC (worth approximately $114 million) to unknown exchanges last week. The Russian hacker suspected of involvement in the incident has been arrested, but their associated wallet still holds 4,100 Bitcoins, valued at up to $360 million, causing unprecedented market uncertainty.

Market Panic as Bitcoin Hovers at $360 Million Threat

(Source: Arkham)

The Mt. Gox hacker wallet still holds 4,100 Bitcoins worth $360 million, posing a significant threat to the cryptocurrency market. According to Arkham Intelligence analyst Amit Gallya, just last month, this hacker’s wallet transferred about 2,300 Bitcoins. This ongoing outflow indicates that the sell-off is far from over, and the remaining 4,100 BTC could flood the market at any time.

The core of market panic lies in unpredictability. Unlike traditional Mt. Gox compensation plans—which have clear distribution schedules and transparency—this hacker wallet’s operations are entirely opaque. Investors cannot predict when the next large transfer will occur or whether the selling pace will suddenly accelerate. This uncertainty forces traders to adopt defensive strategies, with some reducing their holdings in advance to mitigate potential risks.

Despite Bitcoin’s strong daily trading volume, averaging $155 billion in Q3 2025, the $36 million sell pressure remains significant. If these Bitcoins are dumped rapidly, it could cause liquidity shortages on certain exchanges, triggering a chain reaction. Even more concerning is the possibility that this sell-off coincides with macroeconomic factors (such as Federal Reserve policy shifts or geopolitical tensions), amplifying market volatility through cumulative effects.

Analysts warn that although Bitcoin’s overall liquidity remains robust, the cumulative effect of the suspected Russian hacker Aleksey Bilyuchenko’s continued selling, combined with exchange uncertainties, could lead to a breakdown of key support levels. If 4,100 BTC continue to flow out at the current rate, the market may face sustained selling pressure over the next 2 to 3 months.

Mysterious Exchange Network Masks Fund Flows

The most peculiar feature of this liquidation is the use of unknown exchanges for Bitcoin settlement, making tracking extremely complex. Unlike mainstream CEXs, these unknown platforms lack transparency, do not publish trading data or address labels, making on-chain analysis difficult to trace the final destination of funds.

Three Major Suspicious Points in Unknown Exchange Operations

Regulatory Gray Area: These exchanges may be located in jurisdictions with lax regulation, outside KYC/AML requirements, facilitating money laundering.

OTC Channels: Large amounts of BTC could be sold directly to institutions or whales via OTC, avoiding public markets.

Multi-layer Mixing Networks: Funds may be processed through mixers before transfer, thoroughly severing links to the Mt. Gox hacker.

This operational approach demonstrates that the orchestrators behind these actions are highly familiar with the crypto market. The gradual and methodical liquidation strategy avoids causing large market turbulence, with each transfer controlled below the thresholds that trigger exchange risk controls. Analysts believe this aims to evade regulatory and law enforcement attention while maximizing monetization efficiency.

Using unknown exchanges also introduces another problem: the failure of price discovery mechanisms. When large BTC transactions occur in the dark, the public market price may not accurately reflect supply and demand. This information asymmetry disadvantages ordinary investors, who may unknowingly buy at high prices, acquiring tokens already dumped by hackers.

Who Is Controlling the Wallet After Bilyuchenko’s Arrest

Although fund transfers continue, it remains unclear who controls the wallet associated with Aleksey Bilyuchenko. The hacker was arrested in Russia in 2025, with most of their assets seized, but it’s unknown whether they still control this wallet or if others are executing these transactions. The ambiguity over wallet ownership further fuels concerns about the legality of fund transfers and potential market manipulation.

Bilyuchenko’s arrest should have meant funds were frozen, but this is evidently not the case. Several possibilities exist: first, Bilyuchenko may have transferred private keys to accomplices or family members before arrest, who continue the liquidation. second, Russian law enforcement might have tacitly permitted or participated in these transactions, covertly profiting from the seized crypto. third, Bilyuchenko could have set up automated smart contracts before arrest to execute transfers on schedule.

This uncertainty keeps the crypto community cautious, as they assess the risks posed by such large-scale fund movements in the absence of clear accountability. Mt. Gox’s original victims are especially angry, watching helplessly as the hacker continues to cash out illicit gains.

Legally, these Bitcoins are considered stolen property, and any purchaser could face traceability risks. However, the anonymity and cross-border nature of cryptocurrencies make enforcement extremely difficult. Even if the wallet owner’s identity is eventually confirmed, recovering the already circulated Bitcoins is nearly impossible.

As the liquidation persists, market participants can only passively endure this uncertainty. The remaining 4,100 BTC hang like Damocles’ sword over the market; any tremor could trigger another wave of panic selling. The best approach for investors is to closely monitor on-chain activity and build buffers into their trading strategies to withstand extreme volatility.