The Wall Street Journal has reported citing data from analytics firm Argus that a group of unknown investors has made significant profits using inside information about future listings on cryptocurrency exchanges Binance, Coinbase and FTX.
Argus has identified 46 digital wallets that purchased Gnosis tokens (GNO) totaling $17.3 million in August 2021. Immediately after the asset was listed on popular trading platforms, these sold the assets for large profits.
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According to Argus:
"Profits from token transactions that are visible on the blockchain amounted to more than $1.7 million. However, their actual revenues are likely to be much higher, as some of the assets were transferred from wallets to exchanges and not directly exchanged for stablecoins."
For example, one address invested $360,000 in GNO six days before the token was listed on Binance. After being placed on the platform, the price of the asset skyrocketed, the investor liquidated the position and received a profit of around $140,000.
The company has noted insider addresses showed signs of activity through April 2022.