@joananthony
Capital concentration increases systemic risk. Review token distribution and treasury allocation on-chain to see whether large holders dominate. Excessive concentration gives whales the power to manipulate markets or governance outcomes. Healthy ecosystems show broad wallet diversity, active participation from retail and institutional players, and transparent treasury management. Projects with equitable distribution foster resilience, while those with overconcentration remain vulnerable to sudden liquidity shocks or governance capture. Tracking movement of large wallets provides insight into ongoing risks.