Justin Sun Makes Bid for German Governments Bitcoin Holdings Worth 23 Billion
Justin Sun has made an unexpected move by expressing interest in acquiring the German government’s remaining Bitcoin stash, valued at approximately $2.3 billion. This offer comes amidst concerns over market fluctuations triggered by the German government’s recent Bitcoin sales.
The German authorities originally seized a substantial amount of Bitcoin, nearly 50,000 BTC valued at about $2.1 billion at the time, from the operators of Movie2k, a notorious pirate movie website. This seizure, marking a historic event in Germany, has since led to gradual Bitcoin liquidations from a government-affiliated wallet.
The sales have coincided with a notable decline in Bitcoin’s value, dropping from around $70,000 in mid-June to below $57,000 by early July—a 19% decrease that has unsettled investors and analysts alike.
Justin Sun, recognized for his bold moves in the cryptocurrency realm, announced his proposition via the social media platform X. He stated, “I am prepared to engage in discussions with the German government to acquire all BTC through private channels, aiming to mitigate market disruptions.” Sun’s intention is to preempt further disturbances that could arise from continued public sales.
The German government’s strategy involved transferring Bitcoin funds to prominent exchanges like Coinbase, Kraken, and Bitstamp, with transactions amounting to $75 million on July 4 alone. Prior to Sun’s intervention, data from Arkham indicates that over $300 million worth of Bitcoin had already been sold, leaving approximately 40,359 BTC in the government’s possession, currently valued at $2.31 billion.
These sales have noticeably impacted the broader cryptocurrency market, contributing to heightened Bitcoin price volatility and an overall decrease in market capitalization. Concerns linger regarding potential additional declines if sizable sell-offs persist.
Sun’s proposal to acquire the remaining Bitcoin off-market could potentially ease some of the selling pressure. By conducting the transaction discreetly outside public exchanges, it could stabilize market conditions and potentially prevent further price erosion.
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