A recent study, bitcoinIt revealed that 27 percent of Bitcoin is controlled by only one percent who owns Bitcoin. According to the National Bureau of Economic Research, the top 10,000 Bitcoin accounts hold 5 million Bitcoins worth about $232 billion. They say that this concentration can cause a price drop if everyone sells what they have all at once.
Bitcoin Has Been At The Center Of Many Financial Gains And Losses
Bitcoin (BTC) Although it has been on the market for over a decade and its popularity continues to grow, it still has a very tight ecosystem.
Bitcoin and other cryptocurrencies have been at the center of many of the craziest financial gains and losses this year. According to the Wall Street Journal, the richest 1 percent of all U.S. households own one-third of all wealth. In the hands of approximately 114 million people worldwide BTC but one-third of the value is held by one percent.
#Bitcoin “one percent” reportedly #controls a greater share of #BTC than the #richest BASE #households control in #dollars.https://t.co/0zU1xgFvd4
— Seb (@SebRo01) December 22, 2021
In the past, anyone could process transactions, but now things have become more and more specialized and require huge computing power. Currently, the Bitcoin ecosystem is dominated by miners, owners and exchangers.
CBS News said that Bitcoin creation will be algorithmically capped at 21 million. There are currently around 19 million Bitcoins in circulation, and new coins are getting harder to mine as time goes on.
BTC remains the target of major scams!
The digital currency has soared over the years but has since fallen from record highs. The majority of bitcoin transactions originate from two activities: network processing bitcoin transactions and secondary transactions sent between wallets, compared to less than 3% of fraud, gambling sites, and other illegal activities that rightly concern law enforcement and the government.
As digital currencies continue to grow in popularity, they remain the target of scams. CipherTrace reported that crypto lost $681 million between January and July as a result of fraudulent activities. But on the other hand, Forbes also reminded that the Winklevoss twins became billionaires by investing in Bitcoin.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.