The German government has transferred another part of its huge bitcoin reserves to exchanges.
According x.com/lookonchain/status/1808793462575411233″>blockchain dataOn July 4, Germany's Federal Criminal Police Office (BKA) moved approximately $75 million worth of bitcoin in several transactions. The funds were distributed 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 dumped more than $390 million worth of bitcoins in less than a month.
In 2013, the BKA seized almost 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 current prices.
The steady flow of bitcoins into stock exchanges indicates Germany's possible plans to liquidate part of its reserves. This has raised fears that this will have an impact on the market price of bitcoins, which fell below $58,000 this week.
However, the amounts transferred so far represent a relatively small part of the BKA's huge bitcoin hoard. After the latest moves, Germany still holds around 40,000 bitcoins.
The sales mirror similar transfers made by the U.S. government in recent weeks. The U.S. also holds bitcoins seized in criminal cases, raising fears it may be selling off stashes.
The sell-offs come at a time when payments to creditors over the 2014 collapse of Mt. Gox appear 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 daily bitcoin trading volumes.
