Bitcoin’s long-term security is attracting renewed attention as Glassnode’s on-chain analysis highlights a growing concentration of BTC in addresses with exposed public keys. According to the figures provided, approximately 6.26 million $BTC, or 31.2% of circulating supply, fall into this category.

⚠️ THE BIGGEST FACTOR: 4.33 MILLION BTC IN REUSED ADDRESSES

Address reuse accounts for roughly 4.33 million BTC, representing around 21.5% of circulating supply. When Bitcoin is spent from an address, its public key becomes visible on-chain. Reusing that address can leave the key exposed, potentially increasing its relevance to future cryptographic security risks.

🔍 WHY DOES THE TOTAL REACH 6.26 MILLION BTC?

Glassnode’s reported breakdown includes approximately 1.94 million BTC associated with older address structures, including Pay-to-Public-Key (P2PK) outputs. This category reportedly includes around 1.10 million BTC attributed to Satoshi Nakamoto, although those holdings remain unconfirmed.

📊 A LONG-TERM TREND WORTH WATCHING

The reported share of supply associated with exposed public keys has increased from 24.8% in early 2021 to 31.2%. This highlights an important discussion around Bitcoin’s address-management practices and the potential implications of future advances in quantum computing.

🛡️ DOES THIS MEAN BITCOIN IS ALREADY COMPROMISED?

No. A publicly visible key does not automatically mean the associated BTC can be stolen. Any potential threat depends on future technological capabilities, cryptographic developments, and the time and resources available to an attacker.

💡 THE KEY TAKEAWAY

Bitcoin’s security story is not just about price movements or market cycles. Address reuse, legacy outputs, and future cryptographic challenges deserve attention as the network evolves. Improving storage practices and preparing for potential security upgrades could become increasingly important over time.

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