'Bitcoin Millionaires' Emerging at a Rate of 1,500 Per Day

After Approval of Spot Bitcoin ETF Launch
Cryptocurrency Surges About 70% This Year

As Bitcoin continues to break record highs day after day, about 1,500 "millionaire wallets" are created daily, Bloomberg reported on the 11th (local time).

According to cryptocurrency analytics firm Kaiko Research, this year's record was set on the 1st, when 1,691 millionaire wallets were created in a single day. This surge is attributed to the approximately 70% rise in cryptocurrencies this year following the U.S. Securities and Exchange Commission's (SEC) approval of a spot Bitcoin exchange-traded fund (ETF) launch in January.

However, this figure is lower than the 4,000 wallets reaching $1 million (about 1.3 billion KRW) daily during the 2021 bull market.

Kaiko Research analyzed that the slower pace of increase in Bitcoin millionaires is due to new capital not yet fully entering the market. Kaiko Research stated, "In 2021, large-scale capital inflows occurred as all investors sought to profit from the cryptocurrency boom. This time, major investors are approaching more cautiously and may be taking a more prudent approach to see if profits materialize."

According to cryptocurrency research firm CoinShares International, about $2.7 billion (approximately 3.5319 trillion KRW) flowed into cryptocurrency assets last week. Most of the newly inflowed funds went into Bitcoin. On that day, Bitcoin surpassed $72,000 (about 94.18 million KRW) for the first time ever.

James Butterfill, Head of Research at CoinShares, stated that about $10.3 billion (approximately 13.4734 trillion KRW) has flowed into cryptocurrencies since the beginning of this year. This figure is close to the $10.6 billion (approximately 13.8659 trillion KRW) inflow recorded throughout 2021.

Bloomberg noted, "Bullish events such as the SEC's approval of the spot Bitcoin ETF in January and the upcoming halving scheduled for April (where Bitcoin mining rewards are halved approximately every four years) are driving a surge in Bitcoin inflows." Additionally, on the same day, the UK Financial Conduct Authority opened the possibility of approving cryptocurrency-based exchange-traded notes (ETNs), which contributed to the rise in Bitcoin prices.

However, as Bitcoin continues to hit new highs, some investors are preparing for a correction. Butterfill said, "Despite the recent price increase, funds continue to flow into Bitcoin shorts, with an additional $11 million entering last week."