Bitcoin
German government transfers over $75 million in Bitcoin to exchanges – Bitcoin Magazine
O German the government has transferred another portion of its massive Bitcoin reserves to exchanges.
According to blockchain dataGermany’s Federal Criminal Police Office (BKA) moved approximately $75 million worth of Bitcoin across multiple transactions on July 4. The funds were spread across exchanges including Coinbase, Kraken, and Bitstamp.
This comes after the government transferred around $315 million worth of bitcoins to various platforms. since mid-June. Germany has unloaded over $390 million worth of Bitcoin in less than a month.
In 2013, the BKA seized nearly 50,000 bitcoins linked to the former operator of the movie piracy website Movie2K. The stash is estimated to be worth $2.3 billion at today’s prices.
The steady flow of bitcoin to exchanges signals Germany’s potential plans to liquidate parts of its reserves. This has raised fears of impacts on the market price of bitcoin, which fell below $58,000 this week.
However, the amounts transferred so far constitute a relatively small portion of the BKA’s massive Bitcoin hoard. After the latest moves, Germany still holds around 40,000 Bitcoin.
The sales reflect similar transfers by the United States Government in recent weeks. America also holds Bitcoin confiscated from criminal cases, raising concerns that it may be selling off reserves.
Liquidations occur as a creditor Mt. Gox’s refunds The 2014 crash appears set to begin in July. The timing threatens to increase selling pressure on Bitcoin.
However, proponents argue that the amounts amount to a small fraction of Bitcoin’s daily trading volumes.