A blockchain data platform, Chainalysis has said dogecoin, one of the major cryptocurrencies, is now being adopted by new investors at levels not seen since 2017.
In a market intelligence report on dogecoin, the platform stated that 82% of DOGE in circulation was held by 535 entities with each of them holding 10m.
Dogecoin is the seventh most valuable cryptocurrency in the world.
According to CoinMarketCap, it has a market capitalisation of $41,002,742,449.
Chainalysis chief economist, Philip Gradwell, said, “Exclusive on-chain analysis of dogecoin shows it is currently being adopted by new investors at a level not seen since the late-2017 bull market, with new investors increasing their share of supply from 9% in July 2020 to 25% in August 2021.”
Gradwell said ownership was very concentrated, adding that: “There are currently four million on-chain DOGE holders. However, 106bn DOGE, 82% of supply, is held by 535 entities that hold more than 10 million DOGE each, or 0.01% of entities.
“This is likely a mixture of businesses, such as exchanges that store DOGE on behalf of millions of traders, and a few, now-wealthy, early investors.”
According to him, four million DOGE holders, 2.1m entities hold less than 100 DOGE each, with half of them holding the meme cryptocurrency for more than two years.
“These low-balance entities are not necessarily individuals, but are likely to be scattered wallets, belonging to a smaller number of individuals,” Gradwell said.
The report said 37bn of the 106bn DOGE in circulation was held by just 31 investors that had held their DOGE for between six months and two years.