Throughout its history, Bitcoin's network has continually shown that it is becoming increasingly democratized, with almost 1 million blockchain addresses now holding more than 1 Bitcoin. This number has seen sustained growth since Bitcoin was first created, especially after the FTX collapse which gave dedicated HODLers a better opportunity to increase their position sizes. Furthermore, manufacturers of individual crypto hardware wallets saw record sales in the days after the event, indicating a shift of users away from centralized exchanges and towards personal wallets. Other data reinforces this showing that Bitcoin's wealth distribution is quite even, with only 11% of coins held by entities with greater than 0.1% of total holdings; this is considerably different from Ethereum, Cardano, and other altcoins with much higher wealth concentration.

This phenomenon can be partially attributed to Bitcoin's unique proof-of-work consensus mechanism, which incentivizes miners to sell newly mined coins, rather than hoard them. This democratic trend, continuing since Bitcoin's inception, shows the extreme potential of the blockchain to level the financial playing field.



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