Popular commission-free trading platform Robinhood has moved around 8% of the supply of the meme-inspired cryptocurrency Dogecoin ($DOGE) to a new mysterious wallet.
The development means that the supply of DOGE Robinhood held in its wallets, which was once holding steady at around 24%, has plunged to 16% following considerable transactions involving a new wallet that’s now in the “top 20” as well.
According to DOGE whale monitoring service Dogecoin Whale Alert, the wallet’s movements were shared on the microblogging platform Twitter as they were occurring, with several massive transactions moving the funds to the receiving wallet.
Whether the new wallet also belongs to the commission-free trading platform isn’t clear. The possibility that Robinhood may be transferring the Dogecoin to another wallet under its control could indicate a restructuring of its holdings for reasons currently unknown.
Robinhood’s substantial holdings of Dogecoin had long been a topic of interest in the crypto community, which initially did not know that the meme-inspired cryptocurrency’s largest wallet belonged to the exchange.
According to data shared by Dogecoin enthusiast Mishaboar on the microblogging platform Twitter, Dogecoin’s transaction volume surged to a new all-time high as users have been looking to mint DRC20 tokens on top of the network.
Earlier this month a mysterious DOGE whale transferred over 13 million tokens of the meme-inspired cryptocurrency in a series of transactions that came shortly after Tesla and Space X CEO Elon Musk announced his intention to install a new CEO for the microblogging platform Twitter.
The DOGE whale moved the 13 million tokens, worth over $927,000 at the time of the transaction, from different multiple wallets to a newly created wallet, in a series of transactions that cost them just 3.63 DOGE in fees, equivalent to $0.26 at the time of the transaction.
The move by Robinhood to transfer a significant portion of its Dogecoin holdings to a new wallet is a significant development that could have implications for the future of the meme-inspired cryptocurrency.
It remains to be seen why Robinhood is making this move, but it could be a sign that the exchange is preparing to make some changes to its Dogecoin offerings.
Mohammad Ali is a fintech and cryptocurrency writer who has been covering the intersection of finance and technology for several years. Ali has a deep understanding of the financial industry and the ways in which technology is changing it, with a special focus on the rise of digital currencies and blockchain technology.
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