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Which cryptocurrency doEthereum (CRYPTO:ETH) whales (individuals with a lot of money invested) like the most? The answer, of course, is Ethereum itself. However, Ethereum whales also are betting on other cryptocurrencies.

Shiba Inu (CRYPTO:SHIB) ranks high on the list. In late February, Ethereum whales owned more than $1.3 billion of the digital token, according to whale-tracking website WhaleStats. Today, the figure tops $1.5 billion.

But Shiba Inu isn't at the top of the non-Ethereum list for these whales. Here's the cryptocurrency Ethereum whales are buying even more of.

Image source: Getty Images.

As of March 4, Ethereum whales owned more than $1.6 billion of FTX Token (CRYPTO:FTT). The digital token makes up nearly 18% of the whales' non-Ethereum holdings.

In one sense, it might be surprising that FTX Token (FTT) is Ethereum whales' No. 2 favorite token after Ether. FTT ranks only 26th among cryptocurrencies based on market cap. Shiba Inu comes in much higher at No. 14.

There are plenty of well-known and widely adopted cryptocurrencies with greater market caps than FTT. So why aren't Ethereum whales scooping them up instead? There's a simple explanation.

FTT is the native token of the FTX crypto-trading exchange. This exchange has become very popular with futures traders.

CoinRanking.com lists FTX as fourth among crypto exchanges based on trading volume. FTX also comes in at No. 4 on CoinGecko's ranking of crypto exchanges based on its proprietary trust score. This score includes web traffic, liquidity, trading activity, a cybersecurity evaluation, and more.

Any Ethereum whales who use the FTX exchange have incentives to build up their positions in FTT. The digital token can be used as collateral for positions in futures. The FTX exchange reduces futures fees for traders who hold a specified amount of FTT for a specified time. And those who hold enough FTT can get rebates on all of their over-the-counter trading on the FTX exchange.

But FTT isn't completely joined at the hip with FTX. Ethereum whales could buy the digital token on other exchanges as well. For example, Binance (the top-ranked crypto exchange based on trading volume) supports buying FTT with several other digital tokens, including its own native Binance Coin.

Ethereum whales don't like just Ether, FTX Token, and Shiba Inu. They own more than $826 million worth of USD Coin (CRYPTO:USDC), one of the top stablecoins on the market. Another stablecoin, Tether (CRYPTO:USDT), also ranks high on the list. Ethereum whales hold more than $434 million of Tether.

Some of the Ethereum whales appear to be fans of Polygon (CRYPTO:MATIC) as well, owning nearly $380 million of the cryptocurrency. Polygon is built on the Ethereum blockchain and extends the blockchain into a multichain network.

If you're wondering if Ethereum whales are into gaming coins at all, the answer is yes. They currently own nearly $330 million of Decentraland (CRYPTO:MANA) tokens. Decentraland has emerged as one of the leading metaverse cryptocurrencies.

This article represents the opinion of the writer, who may disagree with the official recommendation position of a Motley Fool premium advisory service. Were motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.

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Here's the Cryptocurrency That Ethereum Whales Are Buying More of Than Shiba Inu - The Motley Fool