Ethereum billionaires reduce holdings to staker.

On-chain data are clear: ETH whale holdings are getting lower. The reason? More and more whales are deploying their Ethers to stake.

A chart from Glassnode raised quite a few eyebrows earlier this month. Where is all the Ethereum going? The number of large wallets (1K ethers) is getting smaller and smaller. The picture sourced from Glassnode makes things clear: It's not a sale, but a targeted redistribution of assets.

Stake Rate: Uptrend continues

There has been a huge increase in Ethereum's staking rate. The increase reached a new record of nearly 24 percent in October. This trend correlates remarkably well with the marked decline in holdings of major ETH investors. As more and more coins leave the exchanges and presumably whale wallets, more and more Ether is being staked- an indication of actual intent. People are overwhelmingly opting for the yield.

The whales' Ether flows into the Ethereum ecosystem, where they are used in smart contracts from DeFi protocols or strike providers such as Lido Finance. Data from Santiment also shows that Ethereum billionaires who own 1,000,000 ETH or more own about 32.3 percent of the total amount of Ether in circulation. By comparison, a year ago this value was 29 percent. The percentage continued to rise in October.