Deep diving with Ethereum whales

Covalent’s latest findings in Cointelegraph Consulting’s biweekly newsletter investigates the anatomy of Ether (ETH) whales. The data indicates that the top 10 ETH-only whales consistently hold roughly 5 million ETH, with the largest whale accumulating more than 25% of the capital. The wallet address of the largest Ethereum whale, much like the other seven whales in the ranking, is relatively young as they only started buying in 2019. 

Apart from the amount of Ethereum that the whales hold, another defining characteristic of the group is its investment behavior pattern: It goes long on its assets and, probably, on the ecosystem itself. Neither have the whales sold any significant portion of ETH throughout the life of their addresses nor have they transacted with their ETH. Unsurprisingly, four out of the 10 whales bought more Ether in the last year.

The largest whales in terms of the total value of assets held display a different pattern as nine out of 10 hold both ETH and ERC-20 tokens and have been actively trading different tokens since 2017. Their vast portfolios have also held assets, such as Uniswap (UNI), Wrapped Bitcoin (wBTC) and Binance Coin (BNB), which are popular ERC-20 tokens. 

The newsletter also breaks down the gas fees on 1Inch v3 and Uniswap v2 ahead of the anticipated launch of Uniswap’s v3. Looking at efficiency, the gas fee on Uniswap constituted on average 0.8% of the transaction value, whereas 1Inch v3 users only spent on average just 0.3%. You can find a more in-depth analysis in the full edition of the newsletter.