Markets
German government begins massive Bitcoin sell-off, sparking market nervousness
German government begins massive Bitcoin sell-off, sparking market nervousness
The German government has started the sale of a major Bitcoin stash seized from operators of movie piracy website. Over $195 million worth of Bitcoin was sold in the last 24 hours. In the latest transactions, $65 million worth of Bitcoin was likely deposited into exchanges, adding to the $130 million moved the day before. Despite these sales, the German government still holds around $3.05 billion in Bitcoin.
The move is part of a recent trend of large-scale Bitcoin transactions by German authorities, with significant funds moving to major exchanges like Coinbase, Kraken and Bitstamp, hinting at further sales. The nearly 50,000 Bitcoins, initially seized from the operators of Movie2k.to, a movie piracy site last active in 2013, were handed over to the German Federal Criminal Police Office (BKA) in January after voluntary surrender of suspects.
The sell-off has already impacted the market price of Bitcoin, which fell due to these large sell-offs. Bitcoin price has fallen by around 0.67% over the past 24 hours, now sitting around $64,723, contributing to a decline of almost 3% over the past 7 days.
Despite the German government liquidation, companies like MicroStrategy continue to show optimism. The software company recently purchased $786 million worth of Bitcoin, expanding its significant holdings. This acquisition follows the raising of $800 million through convertible senior notes.