I've read that bitcoin addresses are never destroyed, but do they get recycled/reassigned?

Question

What happens to old bitcoin addresses? I've read that they never get destroyed, but do they get reassigned?

The story is I sent some bitcoin to an exchange using an address I've used with them before, but then found out that they had just retired/stopped using that address. I saw the transaction coming through though. Where did the bitcoin go?? Is there an official network that manages bitcoin addresses? Please help, it is a rather large sum.

Address in question: 12aAEnfc6192cm4KLfV5eY13jYRqy684Ym transaction ID: 0db1e2f9f4233592b5f6ac5c881727e3c5694cfbd21af1744bfb11d069a1ae2d

Answer 1

What happens to old bitcoin addresses? I've read that they never get destroyed, but do they get reassigned?

Bitcoin addresses are not reused or reassigned to anybody under any circumstances.

The story is I sent some bitcoin to an exchange using an address I've used with them before, but then found out that they had just retired/stopped using that address.

This is almost certainly a scam. There is no reason to ever "stop using" an address, especially as the one you're referencing contains over half a million dollars of value. If they had lost access to their own funds that's not really your responsibility, but that seems like a highly unlikely story.

Is there an official network that manages bitcoin addresses?

No.

Answer 2

Bitcoin addresses are essentially just large random numbers. So there's nothing to destroy or reassign - it's just a number.

When you "create" a new address, what you're really doing is just picking two random numbers (that are cryptographically linked to each other) called a "private key" and a "public key". The public key is like a house address or email address - other people use it to send you money. The private key is like a house key or email password - you use it to send your money from your wallet to other people's "addresses" (public keys).

The chance of you generating someone else's address is basically zero because of how large the numbers are.

When an exchange generates addresses for its customers, they internally manage how they're allocated. A responsible exchange would never use one person's address for another person and old addresses should still work.

The reason exchanges generate new addresses is to protect your privacy. Since all crypto transactions are public, sending money to different addresses (generated by the exchange) helps limit the amount of information other people can deduce about your finances.

Answer 3

Looking at the address you provided in a block explorer(OXT Explorer)

12aAEnfc6192cm4KLfV5eY13jYRqy684Ym

it seems your exchange has been reusing that address quite a bit since December to now and has not really cut down on using it. I do not think they have retired the address and it is definitely still under their control.

Is there an official network that manages bitcoin addresses?

No, each individual generates their own addresses and it is entirely their own decision on how to use them. Most people simply use an address once and then put them aside once they are done with them. The address is still perfectly valid, it is just not good for privacy to reuse addresses. Large institutions on the other hand might find it more convenient to reuse since privacy is not their biggest concern.

Depending on how HUOBI uses their addresses, they could have jumbled up your funds with other peoples' funds if they simply re-assign addresses on an as needed basis. It is generally good practice for exchanges to generate separate addresses for each user to avoid an accounting mess like this but not all exchanges do this.

They definitely still have your funds somewhere in their systems and might just be too lazy about getting it back for you. Go to their website and open up a support ticket or something. Keep pestering them to find your funds or they'll just BS you about "we retired the address" and hope you let them keep the funds.

The beauty is you can track everything on the blockchain, you have proof you sent it to an address they control (they still control) and you can prove the transaction went through. If they make it difficult, you may have to open up a legal case against them with a regulatory body but they definitely have your funds. It makes no sense for them to toss a seed after just 2 months of use especially since they can generate infinite addresses from just that seed.