A new Chainalysis research report published on May 15 states that a third of the world’s ether (ETH) is owned by just 376 people. These whales hold their coins on cold wallets, rather than on exchanges, according to a senior analyst of Chainalysis, Kim Grauer.
Despite controlling a large portion of ETH’s circulating supply, the study found these “whales” are responsible for just 7% of all transaction activity. Chainalysis concluded that ETH whales do not impact the coin’s price much and that they do not transfer their crypto riches between wallets often.
Image Source: Chainalysis
However, the study shows that when a whale does transfer their ETH from a wallet to an exchange, the impact on market volatility is small but substantial from a statistical point of view. After analyzing the data from 2016-19 accounting for three including Bitcoin price, Whales sending to exchanges and Whales receiving from exchanges the research firm found that:
Chainalysis also recently expanded its real-time transaction monitoring tools to cover 10 cryptocurrencies in response to demand from law enforcement agencies.
The firm also did an analysis of Bitcoin whales, 20% of BTC is owned by 448 people which is not as centralized as Ethereum. Over time Crypto assets like Bitcoin and Ethereum tend to get more decentralized with better distribution of the supply.
According to Coinmarketcap, Ethereum (ETH) is valued at $241.3 losing over 8% in value in the past day. However, ETH is still up over 38% since last week and is currently the second largest Cryptocurrency with a market cap of $25.6 Billion.
In other ETH news:
Discuss this news on our Telegram Community. Subscribe to us on Google news and do follow us on Twitter @Blockmanity
Did you like the news you just read? Please leave a feedback to help us serve you better
Disclaimer: Blockmanity is a news portal and does not provide any financial advice. Blockmanity's role is to inform the cryptocurrency and blockchain community about what's going on in this space. Please do your own due diligence before making any investment. Blockmanity won't be responsible for any loss of funds.
A Shocking Rise in In 2025, the crypto world faced an unprecedented threat from state-sponsored…
Loses Life Savings in : A Chilling Wake-Up Call In a heartbreaking tale that's all…
Exciting Day for Future Finance Leaders: On December 10, the Peter J. Tobin College of…
Why Is ? The crypto market is no stranger to volatility, but today's sharp decline…
Just Had Its Biggest Year Ever Stealing In a stunning escalation of cybercrime, has marked…
In the world of freelancing and remote work, contractors in Nepal are always on the…