Since the collapse of the FTX exchange in November 2022, Bitcoin reserves on centralized platforms have seen a significant decline, with over 325,000 BTC being transferred out of exchanges within a single month. This volatility stems from investors' deep concerns about asset security, prompting a large number of individuals and institutions to switch to self-custody wallets, reducing their reliance on third-party custody. Since then, the circulation pattern of Bitcoin has continued to evolve, with the rise of institutional power becoming a key driver. In January 2024, spot Bitcoin ETFs were officially launched, accumulating approximately 1.3 million BTC within a few months, accounting for nearly 7% of the total supply. These types of financial products are designed for institutions and mainstream investors, significantly reducing the amount of circulating coins available for short-term trading and enhancing the overall stability of the market. At the same time, corporate treasury strategies have also accelerated the centralized holding of Bitcoin. Currently, the total amount of Bitcoin held by global companies is close to 1.1 million, accounting for approximately 5% of the total supply. These assets are mostly stored long-term in cold wallets or multi-signature vaults, rarely participating in daily transactions, further compressing market liquidity.
Bitcoin Reserves Continue to Decline: A New Trend of Asset Migration Led by Institutions
Since the FTX collapse, Bitcoin exchange reserves have continued to decline, with institutions absorbing large amounts of BTC through ETFs and corporate treasuries, driving its transformation from a trading asset to a long-term store of value, and the market's liquidity and ownership structure are undergoing profound changes.