German MP Questions Government Selling Bitcoins, Asks Them to Stop

UTC by Bhushan Akolkar · 2 min read
German MP Questions Government Selling Bitcoins, Asks Them to Stop
Photo: Joana Cotar, MdB

Joana Cotar voiced her concerns adding that the recent Bitcoin sales by the German government are in contrast to the ongoing discussion in the US, to holding Bitcoin as a strategic reserve asset.

Joana Cotar, the German MP from Bundestag has recently lashed out at the German government for the continuous selling of Bitcoins over the past two weeks. Since June 18, the German government has liquidated more than 9,400 Bitcoins worth over $550 million.

Joana Cotar voiced her concerns adding that the recent Bitcoin sales by the German government are in contrast to the ongoing discussion in the US, to holding Bitcoin as a strategic reserve asset. She has informed prominent political figures, including Saxony’s Minister-President Michael Kretschmer, Finance Minister Christian Lindner, and Chancellor Olaf Scholz, about the counterproductive nature of these sales.

Furthermore, Cotar has also invited them to attend a lecture event titled “Bitcoin Strategies for Nation States”, along with Bitcoin advocate Samson Mow, scheduled on October 17.

The event discussion will cater to how political decision-makers can leverage Bitcoin to boost the nation’s economy. Samson Mow will provide additional inputs into the potential benefits of incorporating Bitcoin into national financial strategies.

The event will also explore the issuance of Bitcoin-backed government bonds as a means to attract investors interested in fixed-income securities denominated in Bitcoin. As per Mow, these bonds could prove to be a stable source of funding for essential infrastructure projects, thereby driving economic growth and innovation.

It looks like top economies will eventually follow the playbook of El Salvador and build their own Bitcoin adoption strategy. With its Bitcoin adoption, El Salvador has made significant progress in its economic health.

Germany Selling Bitcoin Holdings

Germany’s recent sale of Bitcoins has led to greater market volatility with the Bitcoin price crashing all the way to $55,000 earlier today. On Thursday, July 4, Germany sold another 1300 BTC across three crypto exchanges – Bitstamp, Coinbase, and Kraken.

Critics contend that such large-scale government liquidations could have long-term detrimental effects on the stability of the crypto market.

These sales originate from assets seized during a high-profile investigation into the illegal movie streaming site Movie2k.to, which led to the confiscation of approximately 50,000 BTC, now valued at over $3 billion.

Bitcoin News, Cryptocurrency News, News
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