The top 100 addresses holding Dogecoin (DOGE) control about two-thirds of the supply, on-chain analysis shows, making the popular cryptocurrency extremely top-heavy and heightening the risk for smaller investors.
The analysis shows just 0.002% of DOGE holders control 67.9% of the available currency, leaving the approximately 3.75 million other addresses in control of just 33.1%. Crypto Investor used block explorers to analyze and confirm the holdings of the top 100 accounts.
By contrast, bItcoin’s top 100 wallet holders control about 15% of the circulating supply.
The analysis also shows that more than 28% of available DOGE is controlled by a single wallet address, a figure that has trended higher in recent days.
The massive wallet has led to speculation on its owner. This week, Robinhood Markets CEO Vlad Tenev dispelled rumors it was held by the company.
A longtime crypto darling, DOGE has seen its value skyrocket in the last year. It caught fire early in 2021 thanks to trading group Wall Street Bets and has been bolstered by Tesla CEO Elon Musk’s interest in the coin.
As of this writing, DOGE was trading at $0.72, up from less than a penny on January 1.
The circulating supply imbalance of DOGE has caught the attention of some in the crypto community on social media, who worry the coin is building an empire on shaky footing.
The mercurial Musk, oft a catalyst for DOGE price action, also has a high profile appearance as host of Saturday Night Live this weekend, which the currency's faithful are watching closely.
Dogecoin was born out of a meme of a Shiba Inu that went viral in 2013, in the early days of cryptocurrency. Its code is based primarily off that of Litecoin.
In a recent interview with Insider, Dogecoin's co-creator, Billy Markus, said that "The original intent was a parody of all the 'serious' clone coins that were trying so hard to differentiate themselves, but all seemed the same. Dogecoin was just another clone coin, but instead of taking itself seriously, it was just Dogecoin."
The top 100 addresses holding Dogecoin (DOGE) control about two-thirds of the supply, on-chain analysis shows, making the popular cryptocurrency extremely top-heavy and heightening the risk for smaller investors. Subscribe for full article
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