Ethereum 2.0 - how lucrative is it really? Exciting insights from the 10,000 richest ETH addresses

The analyst Adam Cochran has posted an extensive 109-part tweet in which he shares his findings regarding the approaching Ethereum 2.0 switch. In these investigations, he concentrated primarily on the richest investors and ETH holders in order to extract exciting insights from their behavior. Its results provide interesting insights into the entire Ethereum ecosystem and how it is preparing for the introduction of Proof of Stake (PoS).

The 10,000 richest ETH investors and what we can learn from them

Ethereum 2.0 will initiate the long-awaited switch from proof of work to proof of stake protocol. For the analyst Cochran and his team, this was reason enough to take a closer look at the current situation with the world's second largest cryptocurrency.

They accomplished a real Herculean feat and manually checked the 10,000 richest ETH addresses. This enabled them to determine what is currently happening on the Ethereum network and where the money is going. The findings from the analysis extend to around 32 conclusions, of which we now want to take a closer look at one or the other.

Ethereum is less centralized than many think

At first glance, when examining the richest Ethereum wallets, it looked as if the distribution of ETH was very centralized. In the case of PoS, this would make it dangerously controllable and therefore a reason for a bear market.

However, the analysis showed that a large part of this centralized inventory is held in smart contracts. In the area of DeFi, some of them hold large amounts of ETH to control the decentralized financial services there. If you exclude these ETH included in smart contracts, according to the analyst Ethereum, the distribution is just as decentralized as Bitcoin . Both at BTC and ETH have the 10,000 richest wallets in about 56-58% of the total range.

Everyone wants one thing - ETH

The existing Ethereum Whales continue to accumulate at ETH. Others accumulate so much that they themselves become you whales, while almost all founders and core developers still stick to their ETH. One thing shows that confidence in the future of Ethereum is still very high.

It is also obvious that many want to participate in the PoS. This is not surprising with regard to the findings from the analysis. The analyst estimates that the initial income from staking Ethereum (ETH) could bring in a hefty dividend of 12-17% per year. These early gains do not take into account the burn from EIP-1559 or the rise in the Ethereum rate. The bottom line is that it could be more than worthwhile to hold ETH or even to stake.