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MicroStrategy’s Bitcoin Dominance Wanes as Corporates Diversify Holdings

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(04:29 PM UTC)
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  • MicroStrategy holds the largest corporate Bitcoin stash at 640,808 BTC, but its dominance fell from 75% to 60% amid rising competition.

  • Corporate treasuries expanded by 14,447 BTC in October, marking the slowest growth in 2024 as more entities join the space.

  • Metaplanet acquired 5,268 BTC to reach 30,823 total, while Coinbase added 2,772 BTC; Ether now comprises 15% of corporate crypto reserves, up from 2.5%.

Discover evolving corporate Bitcoin holdings: MicroStrategy leads but shares slip to 60% as altcoins rise. Explore key acquisitions, trends, and forecasts for blockchain treasuries. Read now for insights!

What Are the Largest Corporate Bitcoin Holdings in 2024?

Corporate Bitcoin holdings are spearheaded by MicroStrategy, which possesses 640,808 BTC as of October 31, solidifying its role as the premier institutional accumulator under Michael Saylor’s strategy. This positions the company far ahead, yet its relative dominance has decreased from 75% to approximately 60% among all corporate holders, driven by increased participation from diverse firms incorporating digital assets into treasury management. Reports from BitcoinTreasuries.NET indicate that October’s net addition of 14,447 BTC by public and private entities underscores a maturing but decelerating expansion in this sector.

How Are Companies Diversifying Into Altcoins Like Ethereum and Solana?

While Bitcoin commands about 82% of corporate crypto reserves as of late October—down from 94% earlier in the year—altcoins are gaining traction as treasuries seek diversified exposure. Ether holdings have surged from 2.5% to 15% of total reserves, with Solana holding steady at 2-3%, according to data from BitcoinTreasuries.NET. Bitmine stands out as a major Ether holder, controlling nearly 3% of the total supply, or about 3.5 million ETH, demonstrating how firms are balancing portfolios with proof-of-stake assets.

This diversification enables companies to tap into staking rewards for passive income. For instance, Sharplink Gaming plans to allocate $200 million in ETH to the Linea network, an Ethereum-compatible platform, to yield higher on-chain returns through transaction validation. Such moves not only hedge against Bitcoin’s volatility but also contribute to decentralized finance (DeFi) growth by supporting network security and participation. Fidelity Digital Assets notes that corporate involvement in staking is accelerating, with long-term holders locking up assets to earn yields while fostering blockchain ecosystems.

Geographically, the United States dominates with 123 entities holding Bitcoin, followed by Canada (43), the United Kingdom (22), and Japan (15). Overall, 353 entities now hold Bitcoin, including 276 public or private companies—more than double the January figure—highlighting global momentum. Metaplanet, a Japanese firm, exemplifies this by adding 5,268 BTC in October, elevating its total to 30,823 BTC and securing fourth place among treasury holders. Coinbase, under CEO Brian Armstrong, bolstered its position with 2,772 BTC purchases, affirming a commitment to sustained accumulation as stated by Armstrong.

Corporate treasury strategies also intersect with stock buybacks. Metaplanet announced a repurchase of up to 150 million shares using a $500 million credit line, while Sequans Communications initiated a program for 1.57 million American Depositary Shares. These actions blend traditional finance with crypto, optimizing capital allocation amid market opportunities.

Frequently Asked Questions

Which Companies Saw the Largest Increases in Corporate Bitcoin Holdings in October 2024?

Metaplanet led with a 5,268 BTC acquisition, bringing its total to 30,823 BTC and ranking it fourth overall. Coinbase followed by adding 2,772 BTC, as confirmed by CEO Brian Armstrong’s statements on ongoing purchases. These moves contributed to the month’s 14,447 BTC net addition across 276 public and private companies.

What Percentage of Bitcoin Supply Will Be Held in Illiquid Form by 2032?

According to a Fidelity Digital Assets report, around 42% of Bitcoin’s circulating supply—over 8.3 million BTC out of 19.8 million—will become illiquid by 2032. This shift stems from long-term holders and corporate treasuries increasingly engaging in staking and network participation, reducing available supply and supporting price stability.

Key Takeaways

  • MicroStrategy’s Lead Persists: With 640,808 BTC, it remains the top holder, but market share erosion to 60% signals a more competitive corporate landscape.
  • Slower but Steady Growth: October’s 14,447 BTC addition reflects decelerating expansion, yet entity count doubled to 353 since January.
  • Altcoin Momentum Builds: Ether’s rise to 15% of reserves, led by holders like Bitmine, encourages staking for yields and DeFi integration—consider exploring blockchain yields for treasury optimization.

Conclusion

The evolution of corporate Bitcoin holdings and altcoin treasuries underscores a maturing integration of digital assets into business strategies, with MicroStrategy’s position enduring despite competitive pressures. As entities like Metaplanet and Coinbase expand reserves and Fidelity forecasts 42% illiquid supply by 2032, corporations are poised to leverage blockchain for yields and stability. This trajectory points to sustained adoption; businesses should monitor these dynamics to inform future treasury decisions.

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Sheila Belson

Sheila Belson

Sheila Belson is a 20-year-old financial content editor who ventured into the realm of cryptocurrencies in 2023. Enthralled by the innovative world of non-fungible tokens (NFTs), she harbours a profound affection for Ethereum. With a sharp eye for detail, Sheila skillfully navigates the dynamic crypto landscape, continuously seeking to enrich her understanding and share her passion through engaging and insightful content.
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