Exchange Inflows Spike As LFG Moves Bitcoin Reserves Today

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LFG Exchange Inflows

As a result of this week’s chaos, exchanges had an estimated 52,333 of bitcoin inflows largely driven by the depletion of the Luna Foundation Guard (LFG) reserve balance. This doesn’t change the larger macro trend of exchange outflows over the last two years, but it is the largest daily inflow of bitcoin to exchanges since November 2017 and the all-time highest USD value of bitcoin moved. 

The Luna Foundation Guard was forced to send a majority of its holdings to exchanges as it tried to hold the dollar peg for its Terra stablecoin.