Bitcoin
German government begins massive liquidation of bitcoins, causing nervousness in the market
German government begins massive liquidation of bitcoins, causing nervousness in the market
The German government has started selling a significant amount Bitcoin stock seized from operators of a film piracy website. More than $195 million worth of Bitcoin was sold in the last 24 hours. In the latest transactions, US$65 million in Bitcoin was probably deposited on exchanges, adding to the US$130 million transferred the previous day. Despite these sales, the German government still holds approximately $3.05 billion worth of Bitcoin.
This move is part of a recent trend of large-scale Bitcoin transactions by German authorities, with substantial funds being transferred to major exchanges such as Coinbase, Kraken and Bitstamp, suggesting further selling. The nearly 50,000 Bitcoins, originally seized from the operators of Movie2k.to, a film piracy website last active in 2013, were handed over to the German Federal Criminal Police (BKA) in January following a voluntary handover by the suspects.
The sale has already impacted the market price of Bitcoin, which has fallen due to these significant sales. The price of Bitcoin has fallen by around 0.67% in the last 24 hours, now at around $64,723, contributing to a decline of almost 3% in the last 7 days.
Despite the German government’s liquidation, companies like MicroStrategy continue to show optimism. The software company recently purchased $786 million worth of Bitcoin, expanding its significant holdings. This acquisition followed the raising of US$800 million through convertible senior notes.