1,000 people own 40% of all Bitcoins


This statistic has been grabbing headlines as Bitcoin's price continues to skyrocket. Many early believers in Bitcoin, both engineers and investors, have yet to divest their now-substantial positions in Bitcoin, so ownership remains concentrated. Some worry this leads to market manipulation by "whales" that disadvantages smaller traders; these concerns are likely well-founded. However, logarithmic distribution of assets is a universal phenomenon in finance not limited to cryptos alone. This time, instead of VC's and founders capturing all early value, the opportunity is democratized:

Some argue this is no different than what happens in more established markets. “A good comparison is to early stage equity,” BlockTower’s Paul wrote. “Similar to those equity deals, often the founders and a handful of investors will own the majority of the asset.”


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