Is SHIB Becoming Centralized Because of Whales?

Shiba Inu (SHIB), once celebrated as a decentralized meme coin for the people, is now facing serious scrutiny due to growing concerns about centralization. Recent on-chain data reveals a staggering reality: over 41% of SHIB's total supply is held by a single wallet, while 62% is concentrated in just 10 wallets. 

This has sparked a wave of debate among analysts, developers, and holders: is SHIB still truly decentralized, or is it becoming a whale-dominated asset susceptible to manipulation and price instability?

Whale Wallets: Breaking Down the Numbers

How Concentrated Is SHIB?

• 41% held by one wallet (approximately 410 trillion SHIB, worth over $5 billion as of July 2024)

• 62% held by top 10 wallets, far surpassing most other major cryptocurrencies

• Wallet identities remain unknown, raising speculation around whether they belong to early investors, centralized exchanges, or even the elusive founder Ryoshi

Comparison With Other Cryptocurrencies

This comparison starkly positions SHIB as one of the most centralized top coins in the current market.

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Market Impact: The Power of a Single Whale

The influence of the whale controlling 41% of SHIB's supply cannot be overstated. Their movements cause direct ripples across the market.

Whale Influence Mechanisms

Real-World Example

In July 2025, a whale accumulation of 120 trillion SHIB triggered a 19% price surge within hours. Conversely, other large transfers have coincided with sudden crashes and heightened volatility, eroding investor trust and inviting speculation.

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Is This a Threat to SHIB’s Decentralization?

Centralization Risks

• Liquidity Shock: A large sell-off by the whale could collapse SHIB’s price

• Market Dependency: The token’s stability now hinges on a single entity

• Narrative Collapse: SHIB’s founding ideals of decentralization are compromised if this whale is linked to insiders

Community Concerns

Many in the SHIB community have raised alarms on social platforms and forums, questioning the coin’s future. Decentralization is not just technical, it’s psychological. If trust erodes, so too can demand.

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Is SHIB Vulnerable to Manipulation?

Market Manipulation Risks

The Identity Crisis

One of the most troubling aspects is the uncertainty of the whale's identity. Is it an exchange wallet? A founder’s cold storage? A whale consortium? Lack of transparency amplifies the threat of coordinated market moves.

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Conclusion

Shiba Inu’s centralization problem is more than a statistic, it’s a structural risk. With 62% of its supply held by just 10 wallets, and 41% by one, SHIB finds itself in the crosshairs of potential manipulation and unpredictable price swings. 

While the meme coin remains a cultural icon, its vulnerability to whale-driven volatility raises legitimate questions about its future viability as a decentralized asset.

Investors and developers alike must weigh the meme appeal against the realities of whale dominance.

FAQ

What percentage of SHIB does the top wallet hold?

As of July 2024, one wallet holds over 41% of SHIB’s supply, equating to around 410 trillion SHIB tokens.

Why is SHIB considered centralized?

Because 62% of the supply is controlled by just 10 wallets, which centralizes decision-making and exposes the market to high manipulation risk.

Who owns the top SHIB wallet?

The identity remains unknown. It could be an early investor, centralized exchange, or possibly the founder. This ambiguity adds to investor concerns.

Can whales crash the SHIB price?

Yes. A sudden sell-off from a whale wallet could trigger a massive price decline and shake investor confidence.

Where can I track SHIB whale activity?

You can monitor SHIB whale transactions on platforms like Etherscan, WhaleAlert, or directly via Bitrue’s analytics tools.

Should I still invest in SHIB?

Only after thorough research. Consider the centralization risk and its impact on price volatility and market trust. Visit Bitrue.com for more in-depth analysis and tools to monitor whale movements.

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