A clear way to understand onchain liquidity flows is by analyzing the top holders of major tokens. For WBTC on Ethereum, Aave protocol leads holding 32% of the total supply, driven by users depositing WBTC as collateral to borrow other assets (net of borrowed WBTC). It’s the primary DeFi destination for wrapped Bitcoin assets on Ethereum. Other major holders are linked to bridges, other lending protocols and DEXs like Uniswap, Curve and Flow.

That would make Aave: → The #2 largest holder of Bitcoin after MicroStrategy (601,550 BTC), if compared with public companies. → The #4 largest ETF/fund holder, close to ARK 21Shares (~51k BTC). → The #4 largest country-level holder, just behind the UK (~61k BTC). Notes: Aave protocol holds an additional ~$2B in BTC assets on other chains. For this analysis, only Bitcoin assets on Ethereum are considered. The chart below only shows tracked addresses and not the complete Bitcoin supply.

For the token analysis above, we used the new @etherscan Token Flow Visualizer which makes token liquidity easier to interpret and visualise. Logos were added for clarity.