The German The government has moved another chunk of its massive Bitcoin reserves to exchanges.
According to blockchain dataOn July 4, the German Federal Criminal Police (BKA) moved approximately $75 million worth of Bitcoin through multiple transactions. The funds were spread across exchanges including Coinbase, Kraken, and Bitstamp.
This comes after the government moved around $315 million worth of bitcoin to various platforms since mid-JuneGermany has sold over $390 million worth of Bitcoin in less than a month.
In 2013, the BKA seized nearly 50,000 bitcoin linked to the former operator of the movie piracy website Movie2K. The treasure is estimated to be worth $2.3 billion at current prices.
The steady flow of bitcoin onto exchanges signals Germany’s potential plans to liquidate parts of its reserves. This has fueled fears about the impact on bitcoin’s market price, which dipped below $58,000 this week.
However, the amounts transferred so far represent a relatively small fraction of the BKA’s vast Bitcoin hoard. After the latest moves, Germany still has around 40,000 Bitcoin.
The sales reflect similar transfers by the The United States Government in recent weeks. The US is also holding Bitcoin seized in criminal cases, raising concerns that it may be selling off reserves.
The liquidations come as a creditor Mt. Gox refunds The 2014 collapse appears to be starting in July. The timing threatens to increase selling pressure on Bitcoin.
However, proponents argue that these amounts are only a fraction of the daily Bitcoin trading volume.