Why Wall Street Can't Dominate Bitcoin: Insights from Custodia's CEO

Bitcoin's Decentralized Ownership vs. Wall Street Control

Caitlin Long, founder of Custodia Bank, highlights the fundamental difference between Bitcoin and gold. Unlike gold, often stored in centralized bank vaults, Bitcoin's decentralized nature restricts Wall Street's ability to control it.

• Over 70% of Bitcoin is held by long-term investors, limiting its tradable supply.
• Decentralized ownership prevents massive institutional buying that could dominate the market.

Long-Term Holders Retain Majority of Bitcoin

According to on-chain data, around 72% of Bitcoin remains with long-term holders, defined as coins unmoved for over 155 days. This concentration reduces market liquidity and prevents Wall Street from exerting influence.

Bitcoin's Resilient Infrastructure

Long emphasizes Bitcoin's ability to function independently of traditional financial systems, even offline. This resilience is a key factor in preventing centralized control.

Current Market Sentiment and Institutional Debate

Recent market data shows negative funding rates, indicating a defensive sentiment among traders. As Wall Street's interest grows, the Bitcoin community remains divided. Supporters value Bitcoin's independence, while skeptics point to rising ETF inflows as a sign of institutional influence.

Conclusion: Decentralization as a Safeguard

Long asserts that Bitcoin's decentralized nature serves as its ultimate protection against institutional dominance, maintaining its ethos even as Wall Street's participation increases.