HomeNewsNew Report Showing Whale-Dominated Supplies in Shiba Inu, Baby Doge Coin, and...

New Report Showing Whale-Dominated Supplies in Shiba Inu, Baby Doge Coin, and Memecoin Raises Price Manipulation Concerns

- Advertisement -
  • The concentration of ownership in meme cryptocurrencies by whales defies decentralization, with BABYDOGE and MEME leading in concentration.
  • Solana presents a more even distribution of meme cryptocurrencies, evidencing less control by whales in BONK and WIF.

Recent analysis of asset distribution in the meme cryptocurrency sector reveals a trend towards significant concentration of ownership in the hands of so-called “whales”. This phenomenon challenges the initial perception of decentralization and democratization that characterized this market niche.

Power in the Hands of the Few

Detailed information provided by Power Your Own Research highlights that major meme cryptocurrencies such as Dogecoin (DOGE), Shiba Inu (SHIB), Floki (FLOKI), Baby Doge Coin (BABYDOGE), and Memecoin (MEME) are mostly controlled by a small group of investors .

In particular, for BABYDOGE, more than 99% of the circulating supply is held by the top ten wallets, followed by MEME with 96%. SHIB and FLOKI also show a high concentration, with 75.03% and 69% respectively.

According to previous ETHNews reports, there has been growing interest from established entities in the meme cryptocurrency sector. The Blockchain Foundation began integrating these coins into its portfolio in December 2023, marking a significant moment in the evolution of these cryptocurrencies. The Avalanche Foundation has also recognized the potential of these coins by including them in its investments, strengthening its position in the Web3 ecosystem.

A Contrast with Solana

Unlike the trend observed in other blockchains, meme cryptocurrencies on the Solana (SOL) network show a more equitable distribution. Accordingto the same PYOR report, the top ten wallets own only 14.3% of Bonk (BONK) and 22.6% of Dogwifhat (WIF), indicating a lower concentration of ownership and thus a greater democratization of ownership.

Each new report evidences the complexity and dynamism of the cryptocurrency market, an ecosystem where elements of financial and cultural innovation converge. For market participants, the challenge is to stay informed and adapt to a constantly changing environment, without underestimating the potential impact of meme cryptocurrencies on the digital financial sector.

Disclaimer: ETHNews does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products, or other materials on this page. Readers should do their own research before taking any actions related to cryptocurrencies. ETHNews is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods, or services mentioned.
Isai Alexei
Isai Alexei
As a content creator, Isai Alexei holds a degree in Marketing, providing a solid foundation for the exploration of technology and finance. Isai's journey into the crypto space began during academic years, where the transformative potential of blockchain technology was initially grasped. Intrigued, Isai delved deeper, ultimately making the inaugural cryptocurrency investment in Bitcoin. Witnessing the evolution of the crypto landscape has been both exciting and educational. Ethereum, with its smart contract capabilities, stands out as Isai's favorite, reflecting a genuine enthusiasm for cutting-edge web3 technologies. Business Email: [email protected] Phone: +49 160 92211628