German Government Misses Out on $2.3 Billion After Selling Bitcoin at $57,000!

Jakarta, Pintu News – The German government is reportedly missing out on potential profits of more than IDR 38 trillion ($2.35 billion) by selling its Bitcoin (BTC) stash too soon in mid-2024.

According to a report from blockchain intelligence firm Arkham, a crypto wallet labeled “German Government (BKA)” sold nearly 50,000 BTC when the price was still around €950 million ($57,900).

By now, the price of Bitcoin has surpassed Rp1.71 billion ($106,000), making the portfolio worth more than Rp86 trillion ($5.24 billion). The decision to sell early was considered rash and highly detrimental to the country’s finances.

Selling 50,000 BTC at a low price, a huge loss is inevitable

In June and July 2024, German government-owned crypto wallets marked by Arkham sold a total of 49,858 BTC worth more than IDR 47.6 trillion ($2.89 billion).

The sale was made through several transactions on various exchanges at an average price of IDR 950 million ($57,900) per coin. The BTC was previously seized from illegal streaming site Movie2k and stored in a government-authorized wallet.

According to Arkham, if the BTC stash hadn’t been sold and remained in storage until now, its value would have increased to IDR86 trillion ($5.24 billion). In other words, Germany lost the opportunity to profit more than IDR 38 trillion ($2.35 billion). This fact sparked widespread criticism of the government’s strategy in managing cryptocurrency assets.

Also read: Bitcoin (BTC) Beats 1 Kg Gold Price, MEXC and JPMorgan: “The Era of Digital Gold Has Begun?”

A “perfunctory” selling strategy? Here’s what blockchain experts say

Miguel Morel, founder of Arkham Intelligence, said the German government’s pattern of selling BTC seemed hasty and poorly planned. In his interview on EthCC 2024, Morel expressed his astonishment at the liquidation strategy.

“I didn’t expect them to sell on five different exchanges simultaneously,” he said. According to him, the move shows that the government is only focused on instant liquidity, without considering the impact on the market.

This massive sell-off is believed to have contributed to the downward trend in Bitcoin price in mid-2024. Not only the large volume, but also investors’ uncertainty about the potential for further sales from government wallets weighed on the market psychology.

However, on July 14, the day after the wallet ran out of BTC, the price of Bitcoin broke through the psychological level of IDR 985 million ($60,000) again, signaling the end of selling pressure from government wallets.

Also read: These 3 Crypto are Predicted to Beat the Rise of Bitcoin (BTC)!

Community Reaction and Offers from Crypto Figures

Germany’s actions of selling its BTC at low prices caught the attention of many in the global crypto community. One of them was Justin Sun, founder of Tron, who even offered to buy the German government’s BTC stash directly to minimize the impact to the market. However, the sale was made public anyway, causing significant selling pressure.

The cryptocurrency community lamented the seemingly unstrategic move. In the midst of institutional adoption of crypto assets like Bitcoin (BTC), this hasty decision shows a lack of understanding of the dynamics of the digital market. This is an important lesson for other countries that are now considering storing or selling their crypto assets.

That’s the latest information about crypto. Follow us on Google News to stay up-to-date on the world of crypto and blockchain technology.

Enjoy an easy and secure crypto trading experience by downloading Pintu crypto app via Google Play Store or App Store now. Get a web trading experience with advanced trading tools such as pro charting, various types of order types, and portfolio tracker only at Pintu Pro. Pintu Pro Futures is also available, where you can buy bitcoin leverage, trade btc futures, eth futures and sol futures easily from your desktop!

*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities have high risk and volatility, always do your own research and use cold cash before investing. All activities of buying and selling bitcoin and other crypto asset investments are the responsibility of the reader.

Reference:

• Cointelegraph. German gov’t missed out on $2.3B profit after selling Bitcoin at $57K. Accessed May 21, 2025.
• Featured Image: Generated by AI