ICO Wallet Amazing Returns: $12,000 turns into $120 million, all staked Ether.

A dormant Ethereum ICO wallet that has been asleep for ten years has recently awakened. The holder purchased 40,000 ETH for about $12,000 at the launch of the Ethereum Genesis Block in July 2015, and its value has now reached $120 million, resulting in a Return on Investment of 10,000 times. However, instead of transferring the funds to a CEX, they staked all their holdings, doubling down on Ethereum.

An Amazing Choice After Ten Years of Slumber: Stake Instead of Sell

(Source: Lookonchain)

According to data from the blockchain data platform Lookonchain, this Ethereum wallet holds 40,000 tokens, and the holder paid approximately $12,000 to acquire them at the launch of the Ethereum Genesis Block in July 2015. This means the average purchase cost was only $0.30 per ETH. Today, its value has reached $120 million, with a Return on Investment of approximately 10,000 times, making it one of the most successful long-term investment cases in cryptocurrency history.

Whenever seasoned cryptocurrency whales begin to transfer funds, the market often feels concerned, as historically, many ICO wallets' first move after awakening is to transfer to exchanges and sell off. However, this whale is using this capital to double down on investments in the blockchain network, choosing a strategy that is completely opposite to selling off – staking all of it.

Staking is a core component of the Ethereum 2.0 Proof of Stake (PoS) mechanism. Stakers need to lock at least 32 ETH to run a validator node or delegate tokens to a staking pool to earn network rewards. This whale chose to stake all 40,000 ETH, indicating that he is not only optimistic about Ethereum's long-term value but also willing to bear the opportunity cost of liquidity locking to support network security.

This behavior sends a strong confidence signal to the market. Unlike those ICO wallets that cashed out immediately after waking up, this holder, after experiencing a decade of price fluctuations (including the deep corrections of the bear markets in 2018 and 2022), still chooses to continue holding and increase participation. This “diamond hand” behavior is extremely rare and highly respected in the cryptocurrency community.

Divergence Behavior of Other ICO Wallets

Not all Ethereum OG wallets have made the same choices. Over the past month, rumors about large cryptocurrency investors selling off have been rampant, with some analysts attributing the recent fluctuations in cryptocurrency prices to their actions. The behavior of two other Ethereum OG wallets stands in stark contrast to that of this fully staked whale.

Sell-off case: Another OG wallet accumulated 254,908 tokens during the Ethereum ICO and started selling its held tokens on November 26. In the initial transactions, this whale sold 20,000 Ether and then gradually reduced its holdings until Saturday, when it only had Ether worth 9.3 million dollars left. This gradual reduction strategy shows that the holder is systematically exiting the market, possibly to realize profits or shift to other investments.

Mixed Strategy Case: Another OG player who has accumulated 154,076 Ethers since 2017 sent 18,000 tokens to the online cryptocurrency exchange Bitstamp. Previously, this whale sold 87,824 Ethers at an average price of $1,694. This partial sell-off strategy shows that holders are seeking a balance between taking profits and maintaining market exposure.

Some staking cases: A large Ethereum wallet that has been dormant for eight years since the Ethereum ICO chose to stake part of its tokens after waking up in September. This “whale” purchased 1 million tokens during the Ethereum genesis and transferred 150,000 Ether to a new wallet for staking. This strategy shows that holders have found a compromise between maintaining liquidity and supporting the network.

The differentiation behavior of these ICO wallets reflects the maturation of the cryptocurrency market. Early investors are no longer simply “holding or selling” but are adopting more complex asset management strategies based on personal financial needs, market judgments, and risk preferences.

Top holders are still continuously increasing their holdings

(Source: Arkham)

Despite some long-time Ethereum holders potentially selling off, top addresses continue to accumulate. Data from blockchain data platform Glassnode shows that last Wednesday, the total amount of Ethereum held by the top 1% of addresses rose to 97.6%, up from 96.1% a year ago. This increasing concentration trend indicates that large holders are absorbing tokens from retail investors.

According to data from the blockchain intelligence platform Arkham, the Eth2 Beacon deposit contract holds the most Ether, with 72.4 million coins, valued at approximately $203 billion, accounting for about 60% of the total supply. This figure itself is proof of the success of Ethereum's staking mechanism. When more than half of the circulating supply is locked in the staking contract, it means that a large number of holders choose to hold for the long term rather than engage in short-term trading, which provides structural support for the price.

Top Three Holders of Ethereum

First Place: Eth2 Beacon Deposit Contract — 72.4 million (approximately 203 billion USD)

Second Place: Binance Exchange — 4 million

Third Place: BlackRock — 3.9 million

As the world's largest asset management company, BlackRock holds 3.9 million Ether, indicating that institutional funds are entering the Ethereum market on a large scale. This trend of institutionalization echoes the behavior of early ICO wallets choosing to stake, together forming the fundamental logic for Ethereum's long-term bullish outlook.

The profound impact of staking trends on Ethereum

The decision of this ICO wallet to stake all its assets is not only a personal investment decision but also an important indicator of the health of the Ethereum ecosystem. The continuous increase in the staking rate brings multiple positive effects:

Supply Lock Effect: When a large amount of ETH is staked, the circulating supply decreases, which will raise the price under constant demand. Currently, about 60% of Ether is locked in the Eth2 Beacon contract, creating an unprecedented supply contraction.

Network Security Enhancement: More staking means more validating nodes, which increases the cost of attacking the network. When attackers need to control more than two-thirds of the staked tokens to carry out malicious activities, a high staking rate makes Ethereum more secure.

Holder Structure Optimization: Stakers are often long-term believers rather than short-term speculators. This shift in holder structure reduces market volatility and provides more stable support for prices.

Yield Incentive Cycle: Staking rewards (currently around 3-4% annualized) provide holders with stable passive income, which further incentivizes more people to choose staking rather than selling.

The choice of this ICO Wallet may become a demonstration effect for other dormant whales. When the market sees early investors still choosing to stake after obtaining a 10,000-fold return, the power of this belief transmission is unmatched by any analysis report.