German MP calls BTC sell-off by authorities “hasty” and unwise

Since June 19, the German government has sold 7583 bitcoins

05.07.2024 - 08:20

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Last updated on Aug 6, 2024

What’s new? German MP and bitcoin activist Joana Cotar has called on the government to stop the “hasty” sale of bitcoin and instead adopt it as a “strategic reserve currency” to protect against risks in the traditional financial system. The official believes that BTC can help the country diversify treasury assets, serve as a hedge against inflation and currency devaluation, and promote innovation.

Source: X.com

What else is known? Further, selling is not “sensible” and is “counterproductive,” Cotar wrote in her letter, where she also invited several politicians, including Federal Chancellor Olaf Scholz, Finance Minister Christian Lindner, and Saxony’s Prime Minister Michael Kretschmer, to the Bitcoin Strategies for Nation States conference in October.

According to blockchain analytics platform Arkham Intelligence, the German government has sold 7583 bitcoins since June 19, valued at $434,9 million at the current exchange rate. During the last sale on July 4, assets worth $172 million were transferred to crypto exchanges Coinbase, Kraken, and Bitstamp.

The government’s wallets now hold 42 274 bitcoins worth $2,4 billion.

Cotar calls for the remaining assets to be preserved, emphasizing that BTC can strengthen the country’s economic independence and increase its resilience to external financial uncertainty:

“Instead of divesting, I recommend developing a comprehensive Bitcoin strategy. This could include keeping Bitcoin in the state treasury, issuing Bitcoin bonds or creating a conducive regulatory environment.”

Earlier, the head of crypto exchanges HTX and Poloniex, as well as the founder of the TRON blockchain, Justin Sun, said he would like to buy bitcoins from the German government privately to minimize the impact of the sale on the crypto market.

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