Bitcoin News Today: Long-Dormant 500 BTC Stash Moved After 7-Year Silence Amid $58.2M Surge

A long-dormant Bitcoin holder has finally stirred after nearly eight years, sending 500.01148 BTC into motion for the first time since 2017. The move, recorded on the blockchain at block height 907849, involved 50 wallets created between June 10 and July 31, 2017, each releasing 10 BTC in synchronized transfers. The total was dispatched to two new Pay-to-Witness-Public-Key-Hash (P2WPKH) addresses, with 400 BTC coming from 40 legacy Pay-to-Public-Key-Hash (P2PKH) wallets and the remaining 100 BTC to another unidentified P2WPKH wallet [1].

The value of these coins has surged dramatically over time. At the time of acquisition, Bitcoin was trading between $2,500 and $2,650 per coin, placing the initial investment at approximately $1.32 million. As of now, with Bitcoin priced at $116,404 per unit, the 500 BTC stash is worth around $58.2 million. This significant increase underscores the potential for long-term Bitcoin holders to reap substantial gains, even after years of inactivity [1].

However, the transfer has raised privacy concerns. Blockchair’s privacy meter assigned most of the transactions a score of 3 out of 100—classified as “critical.” The reasons include matching inputs and outputs, address reuse, and full wallet sweeps, all of which make it easier to trace the movement of funds. This highlights a growing issue in the Bitcoin ecosystem: the balance between transparency and privacy [1].

This 500 BTC awakening is not an isolated event but part of a broader trend. July has emerged as the busiest month yet for dormant Bitcoin activity, with billions in long-silent coins being moved. The uptick in such movements suggests increasing confidence among long-term holders and possibly the influence of broader market dynamics [1].

The synchronized nature of the transfer and the timing raise questions about the intentions of the sender. Whether this is a strategic move to liquidate assets, consolidate holdings, or respond to market conditions, the event reflects the ongoing evolution of the Bitcoin market. The use of legacy and new address types also indicates a transition in address usage, possibly signaling a broader adoption of more secure and efficient transaction protocols [1].

As the market continues to evolve, the reactivation of dormant wallets could have implications for liquidity and price volatility. The sheer size of this particular transfer adds to the growing narrative of Bitcoin’s transition from speculative asset to a more institutional and long-term investment class.