Bitcoin Whales Are Not Selling Over Quantum Fears, Analyst Says

Key Takeaways

• Galaxy analyst says bitcoin whales have not linked selling activity to quantum risks.
• Institutional investors have considered quantum fears when deciding whether to buy bitcoin.
• Old bitcoin supply movement surged before the “great distribution” largely came to an end.

Quantum Fears Appear to Be Influencing Buyers, Not Bitcoin Sellers

Bitcoin’s largest holders have not attributed selling activity to quantum computing risks, according to Alex Thorn, managing director and head of firmwide research at Galaxy Digital, separating the technology debate from recent whale activity.

On July 15, he wrote on X:

“We work with a lot of whales and none has mentioned quantum as a reason for selling.”

The comment suggests that quantum concerns have entered bitcoin’s investment debate without becoming an identified reason for large-holder selling.

Institutional investors appear to be approaching the issue differently. “Have heard quantum fears as a reason not to buy from institutional investors, though,” Thorn revealed, indicating that concerns may be affecting potential buyers rather than existing holders looking to exit positions.

The distinction comes as bitcoin investors continue examining the reasons behind major supply movements from older wallets. Galaxy’s research suggests recent whale activity reflects a broader distribution cycle rather than concerns about future quantum computing threats.

Galaxy’s ‘Great Distribution’ Saw Old Bitcoin Return to Activity

Galaxy Research data show that large amounts of older bitcoin returned to activity during 2024 and 2025, creating one of the biggest waves of dormant supply movement in the network’s history.

“An enormous amount of old BTC came online and moved onchain in 2024 and 2025, rivaled only by 2017,” Thorn stated in another July 15 X post. The head of research labeled this period a “great distribution,” describing the movement of previously dormant coins back into circulation. He noted:

“This ‘great distribution’ is mostly over and 2026 is on pace to see less than half the amount of awakened coins as last year.”

The decline in awakened coins suggests the large wave of older bitcoin movement has slowed. However, on-chain movement alone does not identify whether coins were sold, transferred between wallets, moved by custodians, or used for other purposes.

Bitcoin’s Quantum Challenge Remains Focused on Future Preparation

The quantum computing debate around bitcoin centers on whether future quantum machines could threaten existing cryptographic protections and whether the network can adapt before that becomes a practical risk. Researchers have examined potential vulnerabilities in digital signatures and possible approaches for strengthening blockchain security.

The challenge for Bitcoin developers is preparing for a potential future threat before quantum computers reach the capability required to compromise existing protections. Any major cryptographic transition would require coordination across bitcoin participants.

Thorn remarked:

“Work is being done on quantum and more work is coming, so I think those fears will assuage.”

The comment reflects the view that continued research and preparation could reduce investor concerns over time.

Quantum risk has also appeared in institutional research on digital assets. Coinbase Institutional has described quantum computing as a long-term consideration for bitcoin and discussed possible mitigation strategies for addressing the threat.

The market question now is whether quantum concerns remain a long-term consideration for investors or eventually become a factor in bitcoin positioning. For now, Galaxy’s comments indicate that the issue is influencing some potential buyers while remaining separate from reported whale selling decisions.