According to Arkham, after 25 consecutive days of transferring Bitcoin to exchanges and market makers, the German government’s BTC wallet is empty, signaling the end of their liquidation process.
BREAKING: The German Government is now out of Bitcoin.
The German Government just sent 3846.05 BTC ($223.81M) to Flow Traders and 139Po (likely institutional deposit/OTC service).
The German Government has 0 BTC ($0.00M) remaining. pic.twitter.com/R2vfylR1b2
— Arkham (@ArkhamIntel) July 12, 2024
Bitcoin’s price dropped from $65,600 to $57,800 during this period, even hitting a five-month low of $53,500. The selling pressure from the German authorities created panic among crypto investors.
In January 2024, German officials confiscated 50,000 BTC from the illegal movie streaming site Movie2k. By mid-June, they began liquidating the assets.
Over nearly four weeks, Germany’s Bitcoin wallet transferred $3 billion worth of BTC to popular Western crypto exchanges like Coinbase, Kraken, and Bitstamp and market makers like Cumberland and B2C2. The daily transfer value initially increased from tens of millions of dollars to hundreds in the past week.
Despite a call from a German parliamentarian to retain some Bitcoin as a hedge against inflation and currency devaluation, the selling continued uninterrupted.
However, the crypto market is still in the woods. Selling pressure remains from other major holders like Mt. Gox (over $8 billion in Bitcoin), Genesis Trading ($1.9 billion in Bitcoin), and Golem ($650 million in Ethereum).
Governments worldwide are estimated to hold over $15 billion in Bitcoin and other cryptocurrencies seized from criminal activities. The United States is likely a significant seller, having moved a substantial amount of BTC and ETH in late June and early July.
Related news: The German Government Transferred Another 2,375 Bitcoins in Ongoing Selling Spree
