The share of bitcoin reserves held by US entities is now 65% greater than the share held by non-US entities, according to CryptoQuant data.
CryptoQuant CEO Ki Young Ju said on X that the relationship splits bitcoin holdings of known US entities — including MicroStrategy, exchange-traded funds, exchanges, miners and the government — with known offshore entities.
The data shows that the ratio skyrocketed from 1.24 in September 2024 to 1.66 on December 16. The ratio was 1.65 on January 6. For most of 2023, when bitcoin was trading below $30,000, the data showed offshore bitcoin holdings exceeded the United States. holding.
In the past three months, pro-crypto Donald Trump won the presidential election and promised to build a national strategic bitcoin reserve, which sent positive sentiment across the market and pushed bitcoin over $100,000 to its all-time high of $108,135.
Following Donald Trump’s re-election, spot bitcoin exchange-traded funds also experienced significant trading volume and inflows, with weekly net inflows worth billions of dollars. The inflows brought the ETFs to total net assets of more than $108 billion, or 5.74% of bitcoin’s market value, according to SoSoValue.
MicroStrategy, the world’s largest corporate holder of bitcoin, has been continuously adding more bitcoin to its strategic reserve, with the latest purchase of 1,070 BTC bringing its total holdings to 447,470 BTC. The company, co-founded by Michael Saylor, plans to raise $42 billion in capital to finance bitcoin purchases over three years.
Such significant bitcoin investments made by institutional investors, and potentially by the US government in the future, have prompted several non-US governments to consider building their own bitcoin reserves. Such discussions have taken place in Russia, Poland and the city of Vancouver.
However, Steve Hanke, Johns Hopkins University professor of applied economics, recently said that he is “completely opposed” to the concept of a national strategic bitcoin reserve in the US, as savings for the reserve would not be invested in real capital used for production.
“Savings transferred to bitcoin do not build factories, create jobs or drive innovation,” Hanke wrote in an X post earlier this week. he said in an attached video clip: “If we don’t increase productivity, we have a real problem because it is fundamentally what underlies improved living standards and prosperity in an economy.”
Bitcoin is trading at $94,271, down 2.21% in the last 24 hours until 12:30 in Hong Kong, according to Block’s bitcoin price page.
