Bitcoin's address security debate is heating up again!

According to Glassnode data, approximately 6.26 MILLION BTC — around 31.2% of Bitcoin's total supply — is associated with visible public keys. This is a level not seen since around 2016.

And there's another number worth watching. 👇

📊 4.33 MILLION BTC is held in reused Bitcoin addresses, accounting for approximately 21.5% of circulating supply. Crypto Briefing reported that this balance has recently increased by 14%.

⚡ WHERE IS THE EXPOSURE COMING FROM?

Glassnode's analysis separates the figures into two categories:

🟠 Address Reuse: 4.33 Million BTC

Many Bitcoin users continue to reuse addresses instead of generating fresh ones for new transactions. Once an address's public key is revealed through spending, reusing that address can leave its public key visible on the blockchain.

🔵 Structural Exposure: 1.94 Million BTC

Some older Bitcoin transaction formats expose public keys by design.

Here's the breakdown:

🔹 Legacy P2PK outputs: 1.71 million BTC

🔹 BTC associated with Satoshi Nakamoto within that category: Approximately 1.10 million BTC

🔹 Taproot-related exposure: 222,000 BTC

📈 THE NUMBERS ARE MOVING!

In early 2021, Bitcoin supply associated with visible public keys represented around 24.8%.

Today, that figure has reached 31.2%.

That's a substantial increase in the share of supply linked to visible public keys over the period.

🏦 EXCHANGES ARE ALSO IN THE SPOTLIGHT

Glassnode data shows approximately 1.79 million BTC held by exchanges is associated with visible public keys.

This puts a spotlight on exchange security, custody arrangements, and the importance of carefully managing large Bitcoin reserves.

Potential responses include stronger key-management practices, more disciplined address usage, and carefully planned cold-storage strategies.

⚠️ CAN ALL THIS BTC SIMPLY BE MOVED?

Not so fast.

Moving millions of BTC across new addresses would require detailed planning, testing, transaction fees, and careful operational controls.

And the approximately 1.10 million BTC associated with Satoshi Nakamoto cannot be moved unless whoever controls the relevant private keys authorizes the transactions.

One crucial distinction: public-key visibility does not mean that the private key has been stolen or that the Bitcoin is automatically vulnerable to theft.

🧠 THE BIG TAKEAWAY

Bitcoin offers the ability to create fresh addresses, but address reuse remains widespread.

With reused-address balances at 4.33 million BTC and total visible-public-key exposure at 6.26 million BTC, address management is becoming an increasingly important subject in Bitcoin security discussions.

📅 The analysis was published on October 8, 2026, after discussions on October 7 about large-scale address-security migration strategies.

Will better address management become a bigger priority for Bitcoin holders and exchanges?

👇 Share your thoughts!

#Bitcoin #BTC #CryptoSecurity #Glassnode #BitcoinNews #Blockchain #BinanceSquare