Crypto Market Turmoil: Bitcoin Transfer, Cetus Hack & FTX Payout Shock

$277 Million Bitcoin Transfer Shakes Major Crypto Exchange

On-chain data tracking platform Whale Alert has reported a significant movement of Bitcoin, with up to 2,529 BTC valued at more than $277 million transferred to the U.S.-based cryptocurrency exchange Kraken in less than two hours. According to U.Today, the transfer occurred in two separate transactions: the first involved 900 BTC worth $97,830,897 moved from Binance to Kraken, and the second saw 1,629 BTC worth $178,533,840 sent from an unknown wallet to the same exchange.

This large-scale transfer has raised concerns among market observers, as it suggests that Bitcoin whales may be preparing to sell off their assets amid a broader market downturn. The crypto market is currently experiencing a significant decline, with Bitcoin dropping by 2.31% in the last day and trading at $108,726 as of press time. This represents a 2.68% decrease from its all-time high of $111,970 reached just the previous day. The negative trend is not limited to Bitcoin, as leading altcoins have also returned to previous lows after recent breakouts.

Transaction	Amount (BTC)	Value (USD)	Source	Destination
1	900	$97,830,897	Binance	Kraken
2	1,629	$178,533,840	Unknown Wallet	Kraken

Bitcoin price as of press time: $108,726
All-time high (May 22): $111,970
24-hour decline: 2.31%
Drop from ATH: 2.68%

Summary: A total of 2,529 BTC worth over $277 million was transferred to Kraken, sparking concerns of increased selling pressure as Bitcoin and other cryptocurrencies face a market downturn. (Source: U.Today)

Binance Announces Support for Sophon (SOPH) on Binance Alpha

Binance, the world’s largest crypto exchange by trading volume, has announced upcoming support for Sophon (SOPH), an interoperable layer-2 scaling solution designed for the entertainment industry. According to The Daily Hodl, trading for SOPH will open on Binance Alpha on May 28, 2025, at 13:00 UTC. Additionally, Binance Futures will launch the SOPHUSDT Perpetual Contract with up to 50x leverage at 13:30 UTC the same day.

Sophon is built on the ZKsync Elastic Chain vision and aims to become a hub for consumer crypto by creating engaging and widely-used applications, particularly in gaming. As a Validium-based Layer 2 solution, it offers higher throughput, low transaction fees, and seamless interoperability with other ZK chains, while maintaining the security of the Ethereum mainnet. The SOPH token will be used to pay gas fees and reward validators, with its official launch scheduled for the following week.

SOPH trading on Binance Alpha: May 28, 2025, 13:00 UTC
SOPHUSDT Perpetual Contract (up to 50x leverage): May 28, 2025, 13:30 UTC
Focus: Entertainment industry, gaming, consumer crypto
Technology: ZKsync Elastic Chain, Validium-based Layer 2

Summary: Binance will support Sophon (SOPH) on its early-access platform, with trading and futures contracts launching on May 28, 2025. SOPH aims to drive mainstream blockchain adoption in entertainment and gaming. (Source: The Daily Hodl)

Coinbase Stock Surges as Cryptocurrency Prices Hit Record Highs

The S&P 500 experienced a slight decline of less than 0.1% on May 22, 2025, following the House's passage of a major tax and spending bill. However, shares of Coinbase Global (COIN), the largest U.S.-based crypto exchange by volume, surged by 5% as Bitcoin prices reached a new all-time high. According to Investopedia, the rally in cryptocurrency prices was fueled by Congressional progress on crypto legislation and growing acceptance by traditional financial institutions.

Other notable market movements included a 19.6% drop in Enphase Energy (ENPH) shares and a 6.4% decline in NextEra Energy (NEE) following proposed rollbacks of clean energy incentives. Meanwhile, United Airlines (UAL) shares rose 3.6%, and Seagate Technology Holdings (STX) advanced 4.2% after announcing a $5 billion stock buyback plan.

Company	Stock Movement	Reason
Coinbase (COIN)	+5%	Bitcoin ATH, crypto legislation progress
Enphase Energy (ENPH)	-19.6%	Clean energy incentives rollback
NextEra Energy (NEE)	-6.4%	Clean energy incentives rollback
United Airlines (UAL)	+3.6%	Positive economic outlook, tariff pause
Seagate Technology (STX)	+4.2%	$5B stock buyback

S&P 500: -0.1% (May 22, 2025)
Coinbase (COIN): +5% (top S&P 500 performer)
Bitcoin: New all-time high above $111,000

Summary: Coinbase stock led S&P 500 gains with a 5% jump as Bitcoin hit a new record, while clean energy stocks fell sharply due to proposed policy changes. (Source: Investopedia)

Danvers Man Sentenced to 6 Years for Laundering $1M via Crypto

Trung Nguyen, a 48-year-old man from Danvers, was sentenced to six years in federal prison for laundering more than $1 million through an unlicensed cash-to-Bitcoin exchange service. The Boston Globe reports that Nguyen, known by the crypto ID “DCS420,” was also sentenced to three years of supervised release and ordered to forfeit over $1.5 million. He was convicted in November 2024 of operating an unlicensed money-transmitting business and concealment of money laundering.

From September 2017 through October 2020, Nguyen ran National Vending, LLC, charging customers a fee to convert cash into Bitcoin without registering with the Treasury’s Financial Crimes Enforcement Network (FinCEN). He disguised the business as a vending-machine operation and accepted large cash payments linked to criminal activity, including $250,000 from a meth dealer and $445,000 from romance scam victims. Nguyen failed to report suspicious transactions and used encrypted messaging and structured deposits to avoid detection.

Sentence: 6 years in federal prison
Supervised release: 3 years
Forfeiture: Over $1.5 million
Unlicensed business: National Vending, LLC (2017-2020)
Criminal proceeds: $250,000 (meth dealer), $445,000 (romance scams)

Summary: Trung Nguyen received a six-year prison sentence for laundering over $1 million through an unlicensed Bitcoin exchange, with additional penalties including supervised release and forfeiture. (Source: The Boston Globe)

FTX Creditors to Receive First Repayment from $5B Payout

FTX creditors will begin receiving a share of their lost funds starting May 30, 2025, as part of a $5 billion payout. According to TheStreet, BitGo and Kraken, two approved distribution agents, are contacting clients to confirm that funds transferred from FTX will be deposited by the end of the month. This comes three years after FTX’s collapse in November 2022, which left thousands of customers unable to access their assets following revelations of fraud and mismanagement by founder Sam Bankman-Fried.

To access their funds, creditors must log in to the FTX claims portal, complete KYC and tax requirements, and select a distribution provider. The court-approved plan specifies that those with eligible claims over $50,000 will receive 72.5% of their claim in the first cash distribution, with the remaining 27.5% and post-petition interest to be paid in future rounds. FTX creditor activist Sunil Kavuri, owed about $2 million, has been waiting for repayment since November 2022.

Payout Start Date	Total Payout	First Distribution (Claims > $50,000)	Distribution Agents
May 30, 2025	$5 billion	72.5% of claim	BitGo, Kraken

FTX collapse: November 2022
First distribution: 72.5% for claims over $50,000
Remaining 27.5% and interest: Future rounds

Summary: FTX creditors will start receiving repayments from a $5 billion pool on May 30, 2025, with the first round covering 72.5% of eligible claims. (Source: TheStreet)

Hacker Steals $223 Million in Cetus Protocol Cryptocurrency Heist

The decentralized exchange Cetus Protocol has reported a major security breach, with hackers stealing $223 million in cryptocurrency. BleepingComputer states that Cetus Protocol, which operates on the Sui and Aptos blockchains, paused its smart contract for investigation and later confirmed that $162 million of the compromised funds had been successfully paused. The project is offering a $5 million bounty for information leading to the identification and arrest of the attacker and has proposed a whitehat settlement to the hacker if the funds are returned.

Cetus Protocol uses a Concentrated Liquidity Market Maker (CLMM) model and has processed a total trading volume of $57 billion, with over 15 million accounts and 144 million trades as of May 2025. The exploit was traced to a vulnerable package, and the platform has since fixed the issue and informed ecosystem partners. Blockchain analytics firm Elliptic is tracking the attacker’s fund movements, which include swaps from USDT to USDC and cross-chain transfers from Sui to Ethereum. The hacker’s address has been flagged on all major exchanges to prevent laundering attempts.

Total Stolen	Funds Paused	Bounty Offered	Total Trading Volume	Accounts	Trades
$223 million	$162 million	$5 million	$57 billion	15 million+	144 million

Exploit date: May 2025
CLMM model, Sui and Aptos blockchains
Attacker’s address flagged on major exchanges

Summary: Cetus Protocol suffered a $223 million crypto theft, with $162 million paused and a $5 million bounty offered for information on the hacker. (Source: BleepingComputer)

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