One of the biggest differences between Bitcoin and fiat currencies, as well as many digital currencies, is that the total supply of Bitcoin is limited to 21 million units. At the same time, the formation of financial crises and sometimes the liquidation of various centralized exchanges have caused a total withdrawal of 5.7% of the total supply of Bitcoin (1.2 million BTC units) from the market trading cycle.
To Report Cointelegraph, the main reason for the downfall of many of these exchanges has been the lack of transparency of their reserves, and the same thing happened to the “FTX” exchange recently. Historical data shows that 14 exchanges and platforms active in the field of digital currencies lost a total of 1.195 million bitcoins, which is equal to 6.3% of the current circulating supply of bitcoins (19.2 million units).
Research by Jameson Lopp, co-founder of the CasaHODL platform, shows that the Mt. Gox exchange still holds the record for the amount of Bitcoin lost.
The lack of bitcoins available for trading is directly related to its price. Lupe also pointed out that the supply of fake bitcoins in exchanges or tokens with similar names has become one of the problems in the digital currency space, and said, “When most people [در صرافیها] “Bitcoins are buying fakes, this digital currency cannot be a good store of value.” In addition, his research shows that there are at least 80 different digital currencies with names containing “Bitcoin” in the market, whose purpose is to mislead investors.
Loop’s conclusion is that investors by buying fake bitcoins negatively affect the price growth of the original version of bitcoin.
Personal ownership or holding of bitcoins in non-trust wallets is introduced as a way to reduce investors’ dependence on centralized exchanges and corporate bonds (investment fund shares).
The President of El Salvador, Najib Abu Qila, also announced a while ago that this country will buy one bitcoin every day from November 17 (November 26). The public reports of the government of El Salvador also show that this country currently has 2,381 units of bitcoins and the average purchase price of these bitcoins is $43,457. In fact, the current market situation has provided an opportunity for this country to significantly reduce its average purchase price.