As we know that almost more than 18 million Bitcoins are circulating in the markets and according to an expert, over more than 40% of all BTC is possessed by less than 2000 Whales which makes only 0.1% addresses out of all Bitcoin addresses.
Centralization of Bitcoin
Bitcoin is considered a decentralized digital asset but actually is it the decentralized asset? It is very difficult to answer this question because on the side it is full decentralized because as there is not the role of the third party in manipulating the bitcoin transactions and block making.
But on the other hand, there are very few numbers of whales in the crypto markets who have the major possession of bitcoins which means that they are controlling the price value in the markets.
At the time of creation, the main aim of the Satoshi Nakamoto is to create such type of digital currency which will not under the control of anyone but now the total scenario has changed and giant institutional players are manipulating the price of cryptocurrencies.
Bitcoin and the Future World
The digital gold according to the opinions of many experts can change the economic world of the future. But it does not seem to happen in real life and is just like an illusion. Is the problem of decentralization is solved and if we say that it solved but then why its major portion of assets are under the control of minimum people?
This distribution to a few ones is opposite to the claim of decentralization and the system remained the same. So, we can say that it does not have the capacity to change the financial and economic system of the world but on the other hand, it assists in the activities which are illegal such as terrorist activities and child trafficking.
System is Unchanged
In the past, we often hear that the current financial system is very centralized and the currency is manipulated by institutions such as governments. When Bitcoin came into the markets, people thought that it will remove the role of the third party. But it was just an illusion as a crypto expert in his recent tweet explained that 40% of all Bitcoins are controlled by less than 2000 people.
— Richard Heart (@RichardHeartWin) November 19, 2019