The price of Bitcoin (BTC) reached $100,000 and in Germany some are complaining. In mid-2024, the government of that country decided to sell the 50,000 BTC that it had seized for alleged criminal activities, passing up the opportunity to obtain higher returns or create a reserve of that asset.
The sales strategy began on June 19 and ended on July 12, the date on which the price of bitcoin It was $57,501.
As reported by CriptoNoticias, the authorities of the federal state of Saxony, in Germany, they started with the BTC sale procedure to exchanges following the criteria established in article 111p of the Code of Criminal Procedure.
In this context, the German Federal Criminal Police Office (BKA) explained that it cannot retain digital assets obtained in criminal activities and, therefore, decided to sell them when the related case concluded. For that reason, They waited almost 6 months to get rid of the BTC.
Inflows and outflows of BTC in the German government wallet. Fountain: bitcointreasuries.
According to the calculations made by the CriptoNoticias journalist Glenda Gonzalezat the time of seizure, the coin created by Satoshi Nakamoto It was trading close to $43,400. That is to say, The 50,000 BTC were worth $2 billion.
Now, with BTC above $100,000, the question arises: How much money did Germany lose from earning its bitcoin?
According to the site Germany’s Bitcoin Regret Metera real-time calculator, The sum of money that country lost by selling bitcoin too early exceeds $2 billion.
In total, Germany received about $2.9 billion from its sales but that sum, if it had maintained its position, It would be almost 5 billion dollars.
Bitcoin is already a six-figure financial asset. Source: CoinGecko.
Criticism over BTC sales
MDR, the state television station in Saxony, was responsible for clarifying that the penal code establishes that a seized asset can be sold “if there is a risk that it will be damaged or suffer a significant loss in value.” An issue that could have been used in favor of not getting rid of those BTC.
However, under the criteria of the Prosecutor’s Office of the city of Dresden, the capital of Saxony, the authorities launched “an emergency sale”, for fear that the asset in question would depreciate by 10% or more. That action left the country without a reserve asset currently valued at more than $2 billion.
Under such criteria, the Prosecutor’s Office of the city of Dresden, capital of Saxony, proceeded to launch “an emergency sale”, a mechanism that is activated when it is feared that the asset in question will depreciate by 10% or more.
In this framework, the bitcoiner and German deputy Joana Cotar He shouted to the sky and warned that Germany was got rid of a treasure in BTC and lost the opportunity to launch a state plan to take advantage of the benefits of digital currencies.
Joana Cotar criticized the German authorities for selling the seized BTC. Source: YouTube/Joana Cotar.
The legislator explained that according to the laws of her country there was no obligation to sell the seized BTC. According to their interpretation of the rule, if the authorities did not declare the emergency they could have kept their treasury and implemented an investment strategy once the criminal case was closed. “It’s all due to ignorance,” said Cotar.
Furthermore, he added: “Instead of holding bitcoin as a strategic reserve currency, as is already being debated in the US, our government is selling on a massive scale.”
In that sense, it is worth remembering that the creation of a BTC strategic reserve It was one of the promises made by Donald Trump that has resonated the most in the bitcoiner community.
Crypto Keynote USA
For the Latest Crypto News, Follow ©KeynoteUSA on Twitter Or Google News.
