Don’t worry about the Bitcoin Whales!

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CCN reports that a Chainanalysis webinar has “made the surprising claim that crypto “whales” — individuals with more than $56 million in Bitcoin — pose no serious risk to the price of bitcoin.”

Chainanalysis is a blockchain research firm and its presentation “Who are Today’s Bitcoin and Bitcoin Cash Whales?” breaks down the types of whales into several categories including “criminal whales,” “early adopter whales,” and “trading whales.”

CCN says that one topic of particular interest is about Bitcoin Cash whales. They hold about 250% of the crypto that regular bitcoin whales hold. CCN says, “So, to be a whale by their definition, you must hold at least 15,000 BTC. To be a Bitcoin Cash whale, you must hold at least 30,000 BCH.”

The webinar also revealed that early adopter holdings have dropped from 9% of all Bitcoin in circulation to roughly 5% today. It also noted that “trading whales” have the most positive effect of the whale classes — they provide a “stabilizing effect.”

Trading whales have begun to supplant other types of whales in terms of their holdings, the webinar revealed. A question was asked about whether or not trading whales might also be early adopters. The presenter said that while some early adopters had shown signs of trying to accumulate more bitcoin later on, it generally wasn’t significant enough for them to cross over into the other category.

The type of whales who effectively pose the smallest risk to Bitcoin’s price are criminal whales, or people who’ve made their money from the dark web. These whales don’t sell in the same way that other whales will, so the existential risk they pose is much lower.

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