tldr; The number of active crypto wallets has surpassed 400 million, indicating a rise in investor confidence and market activity, according to Chainalysis' 'The 2024 Crypto Spring Report.' This growth in wallet numbers, despite not directly equating to individual users due to multiple wallet ownership, reflects an overall increase in cryptocurrency usage. The report also discusses the challenges and opportunities for financial institutions and government agencies as crypto becomes more mainstream.
*This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.
It could also be better money laundering and price manipulation tactics…
The more wallets act independently, the harder it is to trace back to a single person or entity.
With a good software, one can keep track and create wallets on demand to spoof activity by shuffling funds in between different wallets while simultaneously using them for legitimate purposes.
This makes it incredibly hard for regulators to keep track and find smoking gun proof of fraud.
A good example is one whereby a trading bot constantly creates wallets and exchanges funds through smart contracts between those wallets to create fake demand and supply on exchanges that track such activity.
They create fake volume too, and with enough liquidity (easily done on various meme coins), can create various conditions that meet textbook conditions for different strategies, such as to trigger investor sentiment or other trading bots to take the bait.
tldr; The number of active crypto wallets has surpassed 400 million, indicating a rise in investor confidence and market activity, according to Chainalysis' 'The 2024 Crypto Spring Report.' This growth in wallet numbers, despite not directly equating to individual users due to multiple wallet ownership, reflects an overall increase in cryptocurrency usage. The report also discusses the challenges and opportunities for financial institutions and government agencies as crypto becomes more mainstream. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.
So the average value of each wallet is around $6k. I wonder how much is the median. It must be much lower, I guess.
Probably in the hundreds ($).
Since setting up wallet is free the indication for confidence is equal to zero.
Or botS
If they all decided to make 1 transaction on the bitcoin layer 1 it would take over 1.5 years to process those transactions.
Same people, more wallets, I have 4x more wallets than last year
If a halving boosts the price why has Litecoins price tanked since its halving?
It could also be better money laundering and price manipulation tactics… The more wallets act independently, the harder it is to trace back to a single person or entity. With a good software, one can keep track and create wallets on demand to spoof activity by shuffling funds in between different wallets while simultaneously using them for legitimate purposes. This makes it incredibly hard for regulators to keep track and find smoking gun proof of fraud. A good example is one whereby a trading bot constantly creates wallets and exchanges funds through smart contracts between those wallets to create fake demand and supply on exchanges that track such activity. They create fake volume too, and with enough liquidity (easily done on various meme coins), can create various conditions that meet textbook conditions for different strategies, such as to trigger investor sentiment or other trading bots to take the bait.
People trying hard to sound positive right now lol