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Crypto News

Coinbase Stands Out with Over $25 Billion in Bitcoin Reserves

Author

Jay Solano

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Tags Editor's Choice / Slider Posts

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2 mins
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Author

Jay Solano

Tags

Editor's Choice / Slider Posts

Reading time

2 mins
Last update

Author

Jay Solano

Tags

Editor's Choice, Slider Posts

Reading time

2 mins
Last update

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Coinbase, a prominent name in the crypto world, has emerged as the single largest Bitcoin entity globally, as unveiled by a recent report from Arkham Intelligence. This significant revelation underscores a seismic shift in the cryptocurrency landscape.

Arkham Intelligence’s findings indicate that Coinbase-associated Bitcoin deposits and holding addresses collectively possess more than 1 million BTC. The estimated value of these holdings surpasses a staggering $25 billion. Remarkably, this means Coinbase holds an equivalent of 5% of the entire Bitcoin in circulation.

However, Arkham Intelligence suggests that the actual Bitcoin volume retained by Coinbase could be even more substantial. This is attributed to certain unlabeled addresses linked with Coinbase that haven’t been fully accounted for in the data.

To provide some perspective, current data from CoinMarketCap states that there are over 19.4 million Bitcoins in circulation. This volume corresponds to a market capitalization exceeding $518 billion, which makes up nearly 50% of the total cryptocurrency market value. Given Coinbase’s massive BTC holdings, it becomes clear that the exchange controls about 5% of the market value of half the total cryptocurrency sector.

Despite Coinbase’s dominance, there has been a notable reduction in Bitcoin’s supply on exchanges. Santiment’s data points to a current BTC reserve of around 1.1 million on exchanges. A detailed review of these statistics shows a significant drop, reaching a record low not seen in almost six years.

The last time exchange holdings were this low was around November 2018. The current figures suggest that exchanges now hold close to 5.8% of the total Bitcoin volume.

The reduced Bitcoin supply on exchanges could be seen as a sign of a bullish trend in the market. However, this decline might also be influenced by regulatory ambiguities faced by exchanges, including Coinbase.