Overview
- CryptoQuant data show the 90-day average of spent outputs from holders inactive five years or more has risen to roughly 1,500 BTC, about twice the level recorded in May.
- A spent-UTXO reading only records that coins moved onchain and does not prove those coins were sold because transfers can be custody migrations, output consolidation, or seed replacements.
- Early August disclosures of a Coldcard firmware flaw that could expose seed phrases drove many users to create new seeds and move funds, and researchers reported large waves of movement and confirmed thefts totaling roughly 1,596 BTC across several attack waves.
- Blockchain records from August document very old wallets moving sizable sums, including six addresses inactive 12–15+ years that moved 553.59 BTC and 28 dormant wallets that moved about 1,314.41 BTC on August 20, but their intent is not visible onchain.
- The episode has renewed talk about custody choices and ETFs because institutional custodians such as Coinbase Custody and Anchorage are used by funds like BlackRock’s iShares, and investors may shift toward custodial services or multisignature setups to avoid seed-management risks.