Bitcoin hodlers scarce: less than 7% addresses hold over $1000
A persistent bear market has proved detrimental for the most cryptocurrencies in the market. Prices of most cryptocurrencies have touched yearly lows and circulation supply has dwindled. A research report revealed that 80% addresses on the Bitcoin network hold less than $100.
There are 22.9 million addresses that exist on the Bitcoin network. This might be low compared to the Ethereum network. But what is even more saddening is the fact out of the 22.9 million addresses, a staggering 11 million addresses hold less than 0.001 BTC. This means that half of the addresses represent paupers of the network.
There are only 5 million addresses which hold more than 100,000 BTCs currently on the network. This means that currently, only 20% of the addresses on the network has more than $100 USD. These could be exchange addresses as exchanges are known to hold hefty amounts of cryptocurrencies. Also, this means that the number of BTC hodlers are at a bare minimum compared to all the addresses present on the network.
The largest client of the network, Bitcoin Core, is currently running 95% of the nodes. The U.S is leading the node race with 25% of the total 10000 active nodes. Germany holds 19% of the nodes and is the second largest holder of active nodes on the Bitcoin network.
“A lack of infrastructure and the need for education surrounding its use are some of the biggest impediments to Bitcoin taking root in developing economies,” wrote the research report. The lack of adequate internet penetration in developing economies is a major hurdle for Bitcoin adoption according to the research. The research also suggests that Bitcoin can replace physical currency and can be a solution to inflation worries that plague the world.
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