Satoshi Nakamoto’s vision, as outlined in the Bitcoin whitepaper, was a P2P electronic cash system. While Bitcoin hasn’t been able to keep up, thousands of other projects have emerged to solve all kinds of challenges and provide opportunities. But deep-pocketed whales continue to dominate today’s market, making meme coin projects, DeFi, NFTs, and even the beloved Bitcoin akin to traditional finance. So, which altcoin markets do whales control? Let’s take a look at the reports…
Whales rally around this altcoin project
Shiba Inu has been arguably one of the best performing cryptocurrencies of all time over the past year, with remarkable gains in recent months. And although it is not useful, it continues to consolidate its position at the top. In fact, a wallet containing trillions of SHIBs recently carried them and lost more than 15 percent of its value at the time of price. Also, most of the smaller cryptocurrencies are known to belong to a handful of whale wallets. When the price rises, individual investors rightly celebrate early. But those who really make the money are anonymous big money investors who have invested billions in tokens.
The whales keep winning
Cryptocoin. com Before all the headlines of the Shiba Inu, the king of the dog-themed castle was Dogecoin. And despite its Elon Musk connections, DOGE has also been at the mercy of several whale purses. In fact, Musk once referred to this, saying:
If big Dogecoin holders sell most of their coins, they will get my full support. The only real issue is too much concentration (I think) … I will literally pay real dollars if they cancel their account.
Once in May, a single wallet held $22 billion worth of DOGE. At that time, the total market cap for Dogecoin was $70 billion. Therefore, one account held about a third of all DOGE in circulation. On this matter, Bloomberg’s Aaron Brown notes:
Legitimate crypto has a solid underlying economic condition, its value largely dependent on who holds how much. But for crypto with no underlying economy – whose value is determined only by speculation – heavy ownership suggests a fraudulent game.
Whales can even dominate DeFi
According to a DappRadar report, DeFi on Ethereum has emerged as the whales’ playground. According to DappRadar, the average transaction size of Curve on Ethereum was $500,000 in September. Curve is a decentralized exchange (DEX) platform implemented on seven Blockchains.
However, Ethereum has to blame itself for attracting whales. At the height of DeFi, a transaction on Uniswap was attracting as high as $200 in transaction fees. This was unbearable for individual traders.