The German government continued to move some of its massive Bitcoin stash to exchanges on Monday, transferring more than $56 million in multiple transactions.
According to blockchain dataAddresses linked to the German government moved a total of 500 BTC to Bitstamp and Coinbase (250 BTC each) today at 14:48 UTC+8, worth approximately $27.9 million, and transferred 500 BTC to an anonymous address.
JUST IN: 🇩🇪 German government sends another 1,000 #Bitcoin worth $56 million for scholarships 👀 photo.twitter.com/zsxg3q2tkV
— Bitcoin Magazine (@BitcoinMagazine) July 8, 2024
Germany Originally nearly 50,000 Bitcoin was seized in 2013 from the operators of the now-defunct piracy website Movie2K. The treasure is estimated to be worth around $2.3 billion at current prices.
This comes after the government moved around $390 million worth of Bitcoin to various platforms since mid-June.
The steady stream of transfers to exchanges signals Germany’s potential intentions to liquidate portions of its reserves. While reasons remain uncertain, the sales have fueled volatility in Bitcoin’s price, which dipped below $55,000 last week.
However, the amounts shifted so far correspond to a relatively small portion of Germany’s vast holdings. After the latest transactions, the government still owns around 40,000 bitcoins worth almost $2.2 billion.
Nevertheless, the remaining reserves represent a significant portion of daily Bitcoin trading volumes. As such, experts warn that the threat of further turbulence remains as long as Germany remains active in reducing exposure.
The liquidations come just like the long-awaited creditors Mt. Gox payouts The 2014 collapse seems to be starting. This timing could increase selling pressure on Bitcoin in an already bearish macro environment.