Flow of Ideas

Is bitcoin becoming centralized?

Is bitcoin becoming centralized?

Ever since the Clarity Act came to light, the visibility of Bitcoin to companies has been at a record high.

Strategy(MicroStrategy) now owns ₿845,050. That is nearly ~5% (4.02%) right now, but 5% isn't too far away - if MicroStrategy just managed to get the money to purchase ₿204,950, they would own 5% of all bitcoin.

I believe this raises the question: if these companies own the majority of bitcoin (with MSTR owning 1 in 20 at the moment), does that eventually mean bitcoin will become centralised? Currently, it seems like we are safe since these companies aren't going to sell bitcoin any time soon, but in the future these companies can flood the market with bitcoin if they wanted to.

I am aware this is a very short article, but I just wanted to point out the fact that Satoshi owns ₿1,000,000 collectively, and MicroStrategy owns ₿850,000 makes bitcoin vulnerable to the market being flooded with BTC.

How do you rate this article?

3


zackdcat
zackdcat

I (try to) make stuff


Flow of Ideas
Flow of Ideas

On this blog, I will share my perspective on cryptocurrency and tech.

Publish0x

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.

Page not displaying correctly?