More than 1.96 million BTC, or about 10.6 percent of Bitcoin’s circulating supply is held on five major centralized exchanges, Coinbase, Huobi, Binance, OKEx, and Kraken, according to data published by Chain.info. .
Likely due to its custody services, Coinbase holds the most to date, with 944,904 BTC currently spread across approximately 4.39 million different wallet addresses.
Huobi is second with 323,665 BTC held in around 901,600 unique wallets, followed by Binance with 289,961 BTC on nearly 2.7 million addresses. OKEx has 276,184 BTC in 339,000 wallets, while Kraken holds 126,510 Bitcoins out of 672,000 addresses.
The next seven exchanges – Bitflyer, BIttrex, Bitfinex, Poloniex, Coincheck, Gate.io and Bitstamp – hold an additional 210,000 Bitcoins.
The data shows that many users still prefer to take the security risks associated with holding a significant portion of their coins on centralized exchanges despite the underlying decentralized nature of cryptocurrencies and the mantra “not your key, not your Bitcoin”.
The proportion of Bitcoin held by five centralized exchanges could actually go as high as more than 10%, with Chainalysis recently estimating that 3.7 million BTC has not moved in over 5 years potentially lost. . If that is true, then nearly 15% of Bitcoin’s supply is currently managed on five centralized platforms.