Bitcoin's Supply Sink: How Firms Are Reshaping a Digital Gold Standard

Public and institutional Bitcoin holdings have surged to record levels in 2025, according to recent data from crypto analytics platforms and corporate disclosures. Public companies alone acquired more than 196,207 BTC in 2025, significantly outpacing the new supply of approximately 60,044 BTC for the year. This accumulation, driven by firms including MicroStrategy, Tesla, and Block, has pushed global corporate Bitcoin reserves beyond 847,000 coins, representing about 4% of the total supply. Michael Saylor’s MicroStrategy remains a dominant player, now holding 214,400 BTC as of 2025, with the company reaffirming its commitment to Bitcoin as a core component of its corporate treasury strategy.

The rapid accumulation by institutions has created a “supply sink” effect, reducing the amount of Bitcoin available for trading in the short term and reinforcing its status as a store of value. The impact of these treasury strategies is further amplified by the role of ETFs, which added over 59,000 BTC to their holdings in 2025, bringing their total to more than $6.15 billion in Bitcoin assets. This trend reflects a broader shift in institutional capital toward digital assets, with companies increasingly viewing Bitcoin as a strategic reserve similar to gold.

According to data from Bitcointreasuries.net, over 197 entities, including public and private companies, ETFs, governments, and custodians, now hold approximately 3.32 million BTC, representing more than 16% of the circulating supply. ETFs and investment funds lead with 1.343 million BTC, followed by public companies with 786,857 BTC. Strategy, now the second-largest corporate Bitcoin holder, amassed 568,840 BTC by May 2025, behind only BlackRock’s iShares Bitcoin Trust ETF, which controls 625,054 BTC. Strategy CEO Phong Le has projected that the number of public companies holding Bitcoin could rise to 700 by next year, signaling continued institutional adoption.

CryptoQuant’s data also highlights a separate but related trend: the record-level accumulation by Bitcoin “accumulator” addresses, which have no history of selling. This category of long-term holders has significantly increased their demand in 2025, reaching all-time highs despite the market’s short-term consolidation and volatility. These accumulators, driven by macroeconomic concerns and a desire for alternative stores of value, have become a key pillar of Bitcoin’s demand structure. Historically, spikes in accumulator activity have often preceded major price rallies, as these long-term investors steadily reduce the liquid supply of Bitcoin.

While short-term price action has been volatile, with Bitcoin recently trading below its 200-day moving average at around $113,326, the broader market remains in a consolidation phase. Analysts suggest that the combination of limited OTC desk inflows and strong institutional demand may continue to support Bitcoin’s price in the coming months. The current balance of 416,000 BTC held by OTC desks—approximately $30 billion in value—indicates that large buyers have the liquidity to acquire Bitcoin without directly affecting the spot price. However, a further decline in OTC inflows could signal increased buying pressure and potentially push Bitcoin toward new all-time highs.

Industry leaders and policymakers are closely monitoring these developments as the regulatory landscape for digital assets continues to evolve. The U.S. government’s progress in establishing digital asset frameworks and stablecoin regulations is seen as supportive for institutional investors. As more companies recognize the advantages of holding Bitcoin as a reserve asset, the influence of supply and demand dynamics in the market is expected to grow, further shaping Bitcoin’s trajectory in the coming years.