Most of the ERC-20 tokens owns a very small proportion of investors

Thousands blockchain projects was to create a complete ecosystem to solve real-world problems. At least in this we have tried to convince their creators. In reality, almost all altcoins were useless, even though they have economic value among cryptoendoliths. The distribution of funds among the holders violas too, not the most fair. Look at what is going on here.

Money from the richest

Most developers use a policy of the greatest possible distribution of tokens to promote their own project. They organize airdrop, impose restrictions on the sale of coins for one person and spend the bounty campaign.

Read on: How to really make money on cryptocurrency without investment?

Analysts Glassnode found an interesting feature in some ecosystems altcoins. For example, the richest percentage of the addresses of the project Cindicator holds more than 41 percent of all tokens. In the project Aurora , the situation is even more complex — the richest holders control almost all coins.

The experts ‘ report also refers to the Gini coefficient. In statistics, this indicator characterizes the degree of social stratification of a country or region for any of the studied symptom — in this case, the number of funds. Now the coefficient is equal to 0.97 with a maximum value per unit. In accordance with this, funds among holders altcoins are distributed maximally unfair.

The reason for this phenomenon is quite simple: the market is not so much altcoins that have a large community. Most violas holdit limited number of people, so among them the percentage of the richest stands out a lot easier. In other words, to sign in do not need to spend too much money.

By the way, Bitcoin coins is also distributed with complete disregard for justice. It turns out that about two percent of BTC holders control more than eighty percent of all mined to date coins.

Source: Glassnode

Analysts summed up the results of their study one very useful tip: in Glassnode is not highly recommended to invest their money in projects with the most centralized distribution of funds. Ecosystem such coins (if it exists at all) could easily collapse when their top holders decide to sell their savings.

In this case you will lose money, and to return them not even time. Weak because projects rarely shoot up in price — most often their course is just falling to zero.

In addition, many team ICO still hold on to their wallets a significant proportion of the tokens. Because at the time of their sale of the coin developers are often locked out for a certain period of time, their mass selling has been postponed. But it still happens sooner or later.

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