The Disturbing Reality of Ethereum's Power Concentration

Looking at who really controls the Ethereum network makes my blood boil. Let me tell you what I've discovered about these so-called "top holders" - it's worse than you might think.

The Beacon Deposit Contract holds a shocking 46 million ETH - that's 30% of all Ethereum locked away! Worth $165 billion! They call this "securing the network," but I call it concentration of power. When did we agree to let one contract control this much of a supposedly decentralized currency?

The Wrapped Ether Contract sits at #2 with 2.84 million ETH. Sure, they say it's for "DeFi compatibility," but it's really just another centralized point of failure waiting to happen. I've seen enough hacks to know better.

That big exchange at #3 with their "7," "8," and "28" wallets holds over 3.2 million ETH combined. Just THREE addresses! They're literally controlling billions of dollars through their bridges and tokens. The centralization is disgusting.

Arbitrum's bridge holds 1.8 million ETH. Every time I use it, I think about how much power they wield. One security flaw there and boom - catastrophe. And they call this progress?

That trading app sitting at #5 with 1.4 million ETH in ONE wallet? After their history of freezing trading during crucial moments? Give me a break! They're basically holding our industry hostage.

Exchange #6 faces SEC charges but still controls 850,000 ETH in their "13" wallet alone. God knows how much more they have spread across smaller wallets. These exchanges have become the very banks we sought to replace!

Base Portal, the new kid on the block, already hoarding 504,000 ETH as the 7th largest holder. The ecosystem isn't even mature, and already the wealth concentration begins.

That other exchange at #8 has around 2 million ETH across five addresses. Their "MultiSig" wallet is supposedly "secure" - until the day it isn't.

The twin-founded exchange sits at #9 with 369,000 ETH. Remember when their founders talked about decentralization? Look at them now.

Even EthDev, the supposed stewards of the network, are hoarding 309,000 ETH! The very developers preaching decentralization are among the biggest whales!

This is not the cryptocurrency revolution I signed up for. When 10 entities control this much of the network, we're no better than the traditional system we sought to replace.

ETH

The Shocking Truth Behind Ethereum's Wealthiest Wallets

Jeremy Underwood Sep 27, 2023