The German Government’s wallet, labeled BKA on Arkham Intelligence, has loaded 6,000 more Bitcoin, valued at $354 million, in preparation for another round of sell-offs. So far, 5,853.409 BTC has been sent to exchanges like Coinbase, Kraken, Flow Traders, and other addresses.
This distribution follows the outflow of 3,100 BTC, worth $178 million, on July 9. Additionally, the wallet withdrew 1,700 BTC, valued at $91.78 million, from Bitstamp, indicating challenges in offloading BTC on the exchange. On July 10, the wallet’s holdings stood at around 18,110 BTC, down over $400 million from the previous day.
Saxony’s Seized Funds
Dr. Lennart Ante, CEO of Blockchain Research Lab, explained that Saxony investigators seized the BTC funds from the illegal streaming portal Movie2k. The funds are now under the authority of the Public Prosecutor General’s Office, while the BKA manages the transactions.
Method of Sale and Market Impact
Despite the sell-off, BTC prices have rebounded to $58,000 after dipping to $53,900. Dr. Ante raised questions about the efficiency of the Saxon government’s sales strategy, suggesting that auctions or OTC deals might be more effective. Of the nearly 50,000 BTC seized, only 13,110 BTC worth $770 million remain.
Market Sentiment and Future Outlook
The BTC sell-off coincides with Mt. Gox initiating BTC and Bitcoin Cash repayments to creditors. Dr. Ante believes these events could lead to broader BTC ownership, potentially benefiting Bitcoin in the medium term.
