It has been discovered that a German government agency has moved $425 million worth of Bitcoin (BTC). Cryptocurrency analysis company Arkham has revealed that a wallet named "German Government (BKA)" has begun a large amount of Bitcoin transactions.
It has been discovered that a German government agency has moved $425 million worth of Bitcoin (BTC). Cryptocurrency analysis company Arkham has revealed that a wallet named "German Government (BKA)" has begun a large amount of Bitcoin transactions.
Approximately 6,500 BTC was transferred to the cryptocurrency wallet address "bc1q0unygz3ddt8x0v33s6ztxkrnw0s0tl7zk4yxwd", amounting to more than $425.49 million. Previously, the German government had a balance of nearly 50,000 BTC.
According to Arkham's analysis, these Bitcoins are likely to have been seized from the operator of the closed pirate movie site "Movie2k".
Like other government agencies around the world, Germany sometimes seizes digital assets from criminal activity and auctions them off.
For example, the U.S. government auctioned off a large amount of Bitcoin seized from the Silk Road dark web market.
About six hours later, the German government-linked wallet made three significant transactions. It first sent 6,500 BTC to a new wallet address called “bc1q0.” It then transferred 2,359 BTC within its own address.
The bc1q0 wallet then moved 2,500 BTC to another address, “bc1qq.” This wallet then distributed 500 BTC each to various recipients, including cryptocurrency exchanges Kraken and Bitstamp, as well as two unknown Bitcoin addresses.
The remaining 500 BTC is still held by the company, worth $32.64 million.
Despite these large transactions, 43,359 BTC is still held in the primary wallet. That value is about $2.83 billion.
Only 1,000 BTC was transferred to cryptocurrency exchanges, with the intention of selling it.
These transactions did not have a significant impact on the Bitcoin price itself. However, other market trends suggest the possibility of selling pressure.
According to Ki Young Ju, co-founder of Crypto Quant, whales, who are long-term holders of Bitcoin, have sold $1.6 billion worth of BTC through brokers in the past two weeks. Ju said in a post on X
"If this approximately $1.6 billion of sell-side liquidity is not purchased over the counter, brokers may deposit BTC into exchanges, which could affect the market."
There was also activity in the Bitcoin spot ETF, which recorded a net outflow of $152.4 million on the 18th.
The majority of this outflow was from the FidelityWise Origin Bitcoin Spot ETF (FITB), which recorded an outflow of $83.1 million. Grayscale Bitcoin Trust (GBTC) was next, losing $62.3 million.