Galaxy Digital says old Bitcoin distribution has faded, not driven by quantum fears

Alex Thorn said 2024-2025 dormant BTC reactivation was rivaled only by 2017, while quantum-computing concerns have appeared mainly among institutional buyers rather than whale sellers.

BTC

Summary

Galaxy Digital's Alex Thorn said a large wave of long-dormant Bitcoin moved on-chain during 2024 and 2025, in a distribution cycle rivaled only by 2017, and that the phase is now mostly over. Thorn, managing director and head of firmwide research, said monthly volume moved by the one-to-two-year holder cohort peaked at nearly 900,000 BTC in late 2025, while 2026 is on pace to see less than half the amount of awakened coins as last year. He also said Galaxy works with many whales and none had cited quantum computing as a reason for selling, although some institutional investors have raised it as a reason not to buy.

Terms & Concepts
  • Great Distribution: A period when older Bitcoin held in long-idle wallets becomes active and is redistributed during strong market rallies.
  • on-chain: Recorded on the blockchain and visible in network transaction data.
  • quantum computing: Advanced computing that could one day challenge current cryptography, including protections relevant to Bitcoin.