German Government Sells 50K BTC—Misses Out on $3.1B in Gains?

• German government sold 50,000 BTC seized from illicit operations
• Poor timing leads to $3.1B in unrealized profit loss

In the summer of 2024, the German government sold 50,000 Bitcoin at an average price of $54,000, missing out on approximately $3.1 billion in unrealized profits, according to Watcher.Guru on July 11. The BTC was originally seized during a crackdown on an illegal movie-streaming site and liquidated in multiple batches.

Analysts believe the large-scale sale negatively impacted Bitcoin’s price at the time, adding to market volatility. Some experts argue that had the government held onto the BTC longer, it could have significantly benefited from the ongoing bull market.

The move has sparked debate over asset management strategies within public institutions. It also intensified global scrutiny of how governments handle seized digital assets. Experts believe this event may serve as a critical case study for countries managing national crypto reserves.

As of July 11, 02:04 UTC, Bitcoin (BTC) is trading at approximately $115,887 with a 24-hour trading volume of $98.8 billion, according to CoinMarketCap. The incident raises broader concerns about the lack of strategic planning in governmental digital asset management.