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.