Bitcoin (BTC) Disappears From Cryptocurrency Exchanges as Corporate Treasuries and Sovereign Wealth Funds Accumulate the Asset

Bitcoin reserves on cryptocurrency exchanges have plummeted to 2.6 million BTC, the lowest level since November 2018, according to Fidelity Digital Assets.

Bitcoin (BTC) is rapidly disappearing from cryptocurrency exchanges as both corporate treasuries and sovereign wealth funds are accumulating the asset, creating a supply squeeze that could reshape market dynamics.

This trend, which has been slowly unfolding for months, is gathering pace as institutions increasingly view bitcoin as a hedge against inflation and market volatility.

Fidelity Data Shows Bitcoin Moving to Long-Term Holders at Record Pace

Bitcoin reserves on cryptocurrency exchanges have now fallen to 2.6 million BTC, the lowest level since November 2018, according to Fidelity Digital Assets.

The firm reports that over 425,000 BTC have moved off exchanges since November 2024, and public companies alone have acquired nearly 350,000 BTC following the U.S. election.

"Since the beginning of 2025, these buyers have been acquiring more than 30,000 BTC monthly," the report stated.

Fidelity attributes this shift to a strategic move by institutional players to hold bitcoin for the long term.

"We anticipate this trend accelerating in the near future with the increasing role cryptocurrencies are playing in corporate treasury strategies," the report stated.

This aligns with recent reports of sovereign wealth funds quietly accumulating bitcoin as a hedge against U.S. dollar weakness and inflation.

The parallel movements reveal a fundamental market transformation. Corporate treasuries are treating bitcoin as a scarce reserve asset rather than a trading instrument.

With continued accumulation happening, bitcoin's migration from exchange wallets to institutional custody solutions may already be entering a new phase of acceleration.

These shifts could reshape bitcoin's market dynamics at the core—tightening supply while elevating its standing as a scarce macro asset in the same realm as gold.

As retail investors, high-net-worth individuals, companies, and even nation-states vie for slices of the same finite pie, bitcoins held on exchanges are expected to keep dwindling.

Still, during price climbs, sellers occasionally flood platforms, causing a temporary uptick in balances.