Definition ∞ Bitcoin distribution describes how newly minted bitcoins are introduced into circulation and how existing bitcoins are held and transacted among market participants. This process is fundamental to understanding Bitcoin’s economic model and ownership patterns. The initial distribution occurred through mining, and subsequent distribution involves trading, investments, and other economic activities.
Context ∞ Discussions around Bitcoin distribution often focus on the concentration of ownership among early adopters or large holders, sometimes referred to as “whales.” Analysis of transaction patterns and wallet balances provides insights into the perceived fairness and decentralization of Bitcoin’s economic structure. Debates frequently arise concerning the implications of concentrated holdings for market manipulation and price discovery.
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