Despite the bear market, Bitcoin and Ethereum are continuing to set new records.
New records emerge on the use of the Bitcoin and Ethereum networks
As far as Bitcoin is concerned, the number of small holders seems to be continuing to increase.
In fact, the number of addresses on which at least 0.01 BTC, or one million Satoshi, are held has exceeded ten million, setting a new all-time record.
To be precise, the most represented band in this ranking is that of addresses holding from 10,000 to 100,000 Sat (0.0001 – 0.001 BTC), with more than 10,500,000 addresses, followed by the band between 100,000 and 1,000,000 Sat with another 10,500,000 addresses.
By adding together all the addresses holding more than 1,000,000 Sat the result that comes out is more than 10,300,000, a new historical record for Bitcoin.
However, it is worth mentioning that it is wrong to consider that each address corresponds to a person, both because anyone can have as many addresses as they want, and many in fact have more than one, and because BTC belonging to many people are stored on individual exchange addresses.
So excluding addresses on which fewer than 10,000 Sat (0.0001 BTC) are stored, on which altogether only a little over 400 BTC are stored, it is possible to divide Bitcoin addresses into three bands composed of roughly similar numbers of addresses.
The three categories of Bitcoin holders
The first is those storing between 10,000 and 100,000 Sat, or $2 to $20, consisting of well over 10,500,000 addresses. The second is those between 100,000 and 1,000,000 Sat, or $20 to $200, with about 10,500,000 addresses, while the third is those holding more than 1,000,000 Sat ($200) with about 10,300,000 addresses.
It is worth noting that the band holding the most Bitcoin is the one between 1,000 and 10,000 BTC, with more than five million Bitcoin held.
Data from the Ethereum blockchain
Ethereum is also setting new records.
In particular, for some time now it has surpassed Bitcoin in terms of the percentage of transaction volume carried out by addresses with the most funds.
According to recent research by Chainalysis, in the twelve months from June last year to the end of May 2022, as much as 40% of the transactions recorded on Ethereum’s blockchain belonged to this category, referred to as the “Large institutional” ones.
40% of Ethereum's total transaction volume came from large institutional transactions
— Blockworks (@Blockworks_) June 30, 2022
Bitcoin stops at 30%, while Algorand scores the largest percentage among professionals.
The curious thing about this data is that retail investors, both small and large, turn out to be almost irrelevant, with percentages just over 10% for Ethereum, and less than 10% for Bitcoin. It is worth mentioning, however, that these data do not take into account transactions that occur on the Lightning Network, because they are not recorded on the blockchain, and that such transactions are now preferred by retail.
It is clear from this data that BTC and ETH are increasingly becoming assets in use among financial institutions, rather than assets in use among the masses.