Having analyzed the one hundred biggest Ethereum transactions for the last quarter of 2018, ORS CryptoHound discovered some common patterns in the behavior of the six wealthiest wallets. Firstly, all of them transferred enormous amounts of ETH on the same day, with the total value corresponding to nearly half a billion dollars (according to the then exchange rate). Secondly, each of the addresses shared a similar portfolio breakdown: ranging from a 92% to 98% share of OMG tokens. Thirdly, the wallets appeared to have the same creation day and followed a similar pattern of cycling the holdings through multiple transactions. Eventually, the initial tokens ended up equally distributed between thirty-nine new wallets, each holding precisely 150,000 ETH.
The investigation team did not point directly at any specific person or organization that might have been behind the interrelated wallets, accounting for 5% of the total Ethereum supply. However, a hypothesis was drawn at the end of the research, suggesting that it is likely a crypto whale attempted to fake decentralization. The theory goes that this individual (although it could be an organization or fund) believed that they could separate the ETH and OMG holdings, thus protecting the integrity of the Ethereum brand.
"This investigation is one of the early case studies showing AI's potential in blockchain and cryptocurrency analysis," said Fabrizio Fontana, Chief Analyst of the ORS CryptoHound research team. "Our goal is to provide a free and easy-to-use platform for everyone who wants to collect as much data as possible about a specific blockchain address or transaction," he added.
ORS CryptoHound is an intuitive, multi-blockchain platform for analysing, investigating and reporting on BTC, ETH and ERC-20 tokens transactions with the help of Artificial Intelligence algorithms. Its functionality includes tracking the money flows for a specific address, visualizing the token portfolio, calculating the historic token values, generating bank-like statements and more. The end users include cryptocurrency traders, financial analysts and compliance professionals.