Bitcoin’s Soul Search: Debate Erupts as OGs Sell Off Holdings Amid Institutional Surge
Longtime Bitcoin Whales Reportedly Losing Confidence, Spark Questions Over Future Ethos
A growing divide is emerging in the Bitcoin community, as long-time adopters—commonly referred to as Bitcoin OGs—appear to be losing conviction in the digital currency they once championed.
Crypto analyst Scott Melker, also known as The Wolf of All Streets, ignited the debate on Saturday with a post on X (formerly Twitter):
“Many of the most ardent early whales have seen their faith shaken and have been selling at these prices.”
Melker emphasized he was merely conveying sentiments he’s heard across the space, adding that Bitcoin’s original anti-establishment ethos is being diluted by institutional adoption.
“Bitcoin is amazing, but it’s obviously been co-opted to some degree by the very people that it was created as a hedge against,” he wrote.
Not Everyone Agrees: “Everyone Dies. Investment Returns Become Irrelevant”
Not all voices in the crypto world share Melker’s concerns.
Mike Alfred, founder of Alpine Fox, responded:
“I rarely disagree with Scott, but I do here. People sell for a myriad of reasons that have nothing to do with the asset or protocol.”
Alfred’s reasoning is rooted in the human aspect of investing:
“Everyone dies. At some point, investment returns become irrelevant.”
Others in the space argue that institutional involvement is necessary for mass adoption.
Dave Weisberger, a well-known Bitcoiner, said:
“There is NO path to a Bitcoin standard without adoption by the public through legacy institutions and the distribution of OG-held Bitcoin to those entities.”
Early Adopters Are Selling—But Not Losing Belief
The debate isn’t just theoretical. Some of Bitcoin’s earliest adopters have publicly disclosed selling off large portions of their holdings.
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Willy Woo shared that he sold most of his BTC to focus on investing in Bitcoin infrastructure, where he believes returns will outperform the coin itself.
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PlanB, the analyst behind the stock-to-flow model, revealed in February he sold the majority of his holdings and moved into spot Bitcoin ETFs for simpler management.
Bitcoin’s Identity Crisis: “It Belongs to Everyone”
While some lament the shift in Bitcoin’s user base, others argue that Bitcoin’s open nature is its strength.
Crypto influencer Crypto Mags pushed back on the narrative of exclusivity:
“Bitcoin is for everyone. Everyone INCLUDES enemies, governments, and Wall Street.”
Similarly, Matt Hougan, CIO at Bitwise Invest, reminded followers of the core innovation Bitcoin still represents:
“It’s the first global money backed, not by the state and the threat of violence, but by logic and community.”
He concluded:
“Respect to the early whales, and let’s keep building. The world needs Bitcoin more than ever.”
Massive Sale by Early Investor Signals Changing Hands
The discussion comes in the wake of a major transaction: an early Bitcoin investor reportedly sold 80,000 BTC through Galaxy Digital—one of the largest notional crypto sales in history. While the identity remains unknown, the sale exemplifies the broader shift from early holders to institutional players.
