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- The top 10 SHIB wallets hold 62.3% of the total supply, a higher concentration than UNI and ETH.
- The majority of this supply is in a permanent burn wallet, mitigating risk.
- Major crypto exchanges are a significant portion of the top holders, representing countless individual users.
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A recent analysis by blockchain analytics firm Santiment has shed light on the distribution of one of the crypto world’s most popular tokens, Shiba Inu ($SHIB). The data reveals that a small group of the top 10 wallets controls a remarkable 62.3% of the total SHIB supply. This high concentration of ownership has caught the attention of investors and the wider crypto community, raising questions about potential market dynamics.
The Breakdown of Major SHIB Holders
A closer look at the data from Etherscan, a blockchain explorer, provides a clear picture of these dominant wallets. Topping the list is a well-known address: the official Shiba Inu burn wallet. This wallet, where Ethereum co-founder Vitalik Buterin famously sent over 410 trillion SHIB in 2021, holds a staggering 410.43 trillion tokens. This represents the vast majority of the concentrated holdings and is a crucial point, as these tokens are permanently removed from circulation.
The remaining top wallets are a mix of prominent crypto exchanges and unidentified entities. Leading centralized exchanges like Robinhood, Binance, and Crypto.com are among the largest holders, collectively controlling significant portions of the SHIB supply. These holdings are not individual investments but rather the funds held on behalf of millions of users who trade and store SHIB on these platforms. A few other top wallets, likely associated with smart contracts or decentralized exchanges (DEXs), remain anonymous.
Comparing SHIB to Other Tokens
The Santiment report also highlighted how SHIB’s ownership concentration compares to other leading Ethereum-based tokens. With 62.3% of its supply held by the top 10 wallets, Shiba Inu’s ownership is more centralized than both Uniswap (UNI) and Ethereum (ETH), whose top 10 addresses hold 52.2% and 51% of their respective supplies.
While this data might appear to suggest a high risk of market manipulation, the context is vital. Unlike with traditional assets, where concentrated ownership by a few individuals can be a major concern, the nature of these SHIB holdings mitigates some of that risk. The largest holder is a null address, meaning the tokens can never be sold.
Furthermore, the substantial exchange holdings are dispersed among a massive user base, reducing the likelihood of a single, coordinated sell-off that could destabilize the market. This unique distribution model underpins the security and stability of the SHIB ecosystem.
Also Read: Shiba Inu (SHIB) Partners With Chainlink for First-Ever Cross-Chain Lending – Earn 10.9% APY Now
The data from Santiment and Etherscan provides a transparent view of the significant concentration of Shiba Inu ownership. While the numbers—with the top 10 wallets holding over 62% of the supply—are striking, the analysis reveals that this is not a cause for alarm.
The lion’s share is in a permanent burn wallet, and a large portion is held by exchanges on behalf of countless investors. This dynamic highlights the unique tokenomics of SHIB and the community-driven nature of its supply management, solidifying its place in the crypto landscape.
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Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
