Bitcoins are an important digital currency. But the German Federal Criminal Police Office is currently selling thousands of them, causing the price to fall. This is worrying investors who have invested a lot of money.
What does the Federal Criminal Police Office do? At the beginning of 2024, the German BKA seized around 50,000 Bitcoin worth 3 billion euros, including during a raid on the illegal portal movie2k.to.
As our colleagues at cointelegraph.com report, the German agency is currently selling large quantities of Bitcoins. In total, the BKA is said to have carried out at least 13 Bitcoin transactions around July 2 and 3. According to reports, 1,300 coins worth 68 million euros are involved. In total, around 10,000 coins of the entire inventory are said to have been moved.
And the sale and postponement are likely to have a major impact on the official Bitcoin price.
The Bitcoin price is falling because the Federal Criminal Police Office is selling thousands of coins
Why are investors worried? The price of Bitcoin is not very stable and is extremely volatile. This also makes Bitcoin a risky investment.
In particular, large purchases and sales can have different effects on the value of Bitcoin. Since the beginning of July, Bitcoin has lost more than 7,000 euros in value. Compared to last month (June), the price has fallen by 22 percent:
Market observers and experts suspect that the Federal Criminal Police Office is behind the sudden and sharp drop in prices, having now gotten rid of thousands of Bitcoins in several transactions.
However, some doubt that the BKA’s transactions alone can influence the exchange rate so strongly.
What does the BKA do with the money? The BKA simply explained to BTC-ECHO that “the proceeds from seized assets will be paid to the state treasury in which the competent court is located, in accordance with Section 60 of the Penal Enforcement Code.” This means that the state of Saxony could be pleased about a few additional million.
If 10,000 Bitcoin were actually sold, the BKA would still be sitting on around 40,000 Bitcoin. That’s the equivalent of around 2 billion euros.
A German programmer has also owned millions in cryptocurrencies for many years. But he has a problem: he has forgotten his password. Now a hacker organization wants to help him, but the owner of the USB stick is apparently not very interested: A German has two more attempts to get his hands on 222 million euros – an expert wants to help him, but he refuses