German Government Moves 1300 BTC to CEX: Why?

[NancyDeep]

Arkham data shows that the address labeled as 'German government' has once again transferred 1,300 BTC (approximately $75.53 million) to a CEX. Recently, both the German and US governments have been frequently transferring large amounts of BTC and ETH. Could Germany be attempting to liquidate or reconfigure its holdings on exchanges? Are there any other possible reasons?

You can read more on this development here: https://www.coindesk.com/markets/2024/06/19/german-government-agency-moves-425m-bitcoin-some-to-crypto-exchanges/

[Charles-Tim]

Could Germany be attempting to liquidate or reconfigure its holdings on exchanges? Are there any other possible reasons?

Recently both United States and Germany were on news that they are sending money to centralized exchanges. The main reason would be that they want to sell the coins for their fiat in return. The governments can not be trading. While the exchanges can not disclose what the government do with the coins transferred to the exchanges.

Recently German government transferred 1700 BTC to a wallet. Which means they can hold the coins themselves. I guess that those 1300 BTC would have been converted to their local currency by now or would be converted later.

[yhiaali3]

It is clear from the image that the transfers were made from the German government wallet marked (BKA) to several wallets such as Kraken, Bitstamp, and Coinbase, but what is striking is the “139Po” wallet, which is still unknown despite having previously received funds from the German government, including 500 Bitcoin in June 25 and 800 Bitcoin on June 20. As Cointelegraph reported:
https://cointelegraph.com/news/german-government-bitcoin-transfer-market-impact

I don’t know who has “139Po” wallet and why it received the largest amount of bitcoin.

[Zed0X]

I didn't even know they had collected this much BTC from their years of operations. Those who operated the movie piracy website must be in agony (again) after learning that their seized bitcoin is being sold.

~
I don’t know who has “139Po” wallet and why it received the largest amount of bitcoin.

It could be a local exchange.

[yhiaali3]

It could be a local exchange.

Maybe but can local exchange wallet balance be zero:


It appears from the block explorer that all the Bitcoin was moved from the address to two new addresses, which I don't expect belong to the same wallet:

https://www.blockchain.com/explorer/addresses/btc/139PoPE1bKQam8QJjhVjYDP47f3VH7ybVu

I don't know what's going on here

[TomPluz]

BTC and ETH. Could Germany be attempting to liquidate or reconfigure its holdings on exchanges? Are there any other possible reasons?

There is no other reason for such a move but to convert them to cash, for sure. And this liquidation done by Germany as well as that of MtGox are all contributing greatly to the current pullback experienced by Bitcoin. I am hoping that Justin Sun will really push his released plan to acquire the available BTC from Germany so as to stop the hemorrhage right now in the Bitcoin market and Ethereum market. I am just wondering why BTC ETFs are not negotiating with Germany for acquiring some of the Bitcoin...can it be because their clients are not actually interested for now or maybe they are looking for another deeper dip?

[NotATether]

I don’t know who has “139Po” wallet and why it received the largest amount of bitcoin.

Probably because whoever owns the wallet made a large BTC order in exchange for a lot of cash.

And boy does Germany need cash right now. They are having trouble with fuel, after shutting down their nuclear plants and halting the purchase of Russian gas. (CMIIW)

[God Of Thunder]

Well, the last update is that the German States are Done selling their Bitcoin, and their Bitcoin balance is less than 0.005 BTC. Right after publishing the news, the market started to move upward again, and Bitcoin broke the 62K range and stood at 62.8K when writing this post. Now the question is, what next?

Mt. Gox will start distributing Bitcoin to the users, and it is likely to take another two months. What do you guys expect in these two months? I am kind of sure that we will see another dip once Mt. Gox users start getting their payments.

News worth reading about German Bitcoin Balance;
https://cointelegraph.com/news/what-s-next-for-bitcoin-price-now-that-german-gov-t-btc-balance-hits-zero
https://news.bitcoin.com/german-governments-bitcoin-holdings-swell-overnight-thanks-to-donations/