Germany Officially Announced: Why Did It Sell Bitcoin and How Much Did It Earn?

The German government generated “unprecedented” amounts of revenue after emptying all Bitcoins from its wallets.

According to Germany's official statement, a total of $2.88 billion was obtained as a result of the "urgent sale" of approximately 50,000 Bitcoins.

Law enforcement carried out an operation in January against a group of German and Polish citizens suspected of running a pirated movie website and money laundering. The value of the Bitcoins seized as a result of the operation at that time was 2.1 billion dollars.

While the trial of the individuals was ongoing, the prosecutor's office said that "this proceeds do not yet constitute additional income for the State of Saxony" but that they would be confiscated until the case is completed.

Acted in a way that was “fair” to the market

A total of 49,858 Bitcoins were sold between June 19 and July 12, in cooperation with the Saxony Police, the Dresden Prosecutor's Office and the German trading company Bankhaus Scheich.

“The bank is mandated to sell these Bitcoins in a fair and light manner on behalf of the market,” the official statement said.

Couldn't wait for the price to rise

It was also stated that it was "irrelevant" what the market was like when these Bitcoins were sold, that it would be forbidden to wait for the Bitcoin price to rise further and that they should act "as quickly as possible".

According to the prosecutor's statement, authorities can make an "urgent sale" if they think the seized assets may lose 10 percent or more in value. “These conditions have always been valid for volatile Bitcoin due to the huge and extreme speed of price fluctuations,” the statement said.

Established selling pressure for three weeks

With the end of the German government's selling pressure, Bitcoin rebounded and returned to around $65,000.