Bitcoin Dips Below $57K as German MP Calls for Halt in BTC Sales by Government

Holds a physical version of Bitcoin and the German flag. Conceptual image of cryptocurrency and blockchain technology in Germany. Double exposure creative bitcoin symbol hologram.
  • The German government transferred over 2,000 BTC to exchanges, intensifying market sell pressure.
  • MP Joana Cotar advocates for the government to retain Bitcoin, enhancing national financial strategy.
  • Cotar leads the “Bitcoin in the Bundestag” initiative, promoting legislative understanding and support for Bitcoin.

As Bitcoin dips, many look to the reasons why. The Mt. Gox creditor repayments might well play a role – as data from Arkham Intelligence suggests test transactions have started – but there are other factors.

One, sometimes overlooked, yet important factor is the transfer of Bitcoin by the German government. The government recently transferred 1,300 BTC to exchanges such as Bitstamp, Kraken and Coinbase and another 832 BTC prior to that.

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The over 2,000 BTC are part of a seizure of almost 50,000 BTC and the government address still has more than 40,000 BTC, adding to selling pressure. Which is why Justin Sun recently offered to take them out of Germany’s hands.


MP Says Germany Should HODL, Just Like US

Selling to either exchanges or Justin Sun is not something Joana Cotar, a member of the German Bundestag, the German Parliament, thinks should be happening. In a post on social platform X, she recently said that rather than selling Bitcoin the government should be a HODLer.

Cotar wrote a letter to relevant members of parliament like finance minister Christian Lindner and chancellor Olaf Scholz, outlining the value of Bitcoin and the reasons to keep the digital asset on the country’s books.

She also invited them to a talk in October with Samson Mow with the title “Bitcoin Strategies for Nation States”. The CEO of Pixelmatic is a well-known figure in the crypto-sphere and a staunch supporter who recently commented on the shift in US politics toward crypto.

Related: Analysts Reveal These Metrics Indicate Larger Move for Crypto

Cotar has in the past brought forward proposed legislation to make BTC legal tender in Germany. She also highlighted Bitcoin’s role in serving as an inflation hedge and its broader economic potential.

Initiative Bitcoin in the Bundestag

Cotar spearheads the so-called “Initiative Bitcoin in the Bundestag”. The initiative is a party-independent effort launched by Cotar to educate politicians and citizens about Bitcoin and its potential impacts on freedom and finance.

With the initiative “Bitcoin in the Bundestag,” I aim to ensure that politicians develop a deeper understanding of Bitcoin and create better framework conditions that promote innovation and growth in this area.

Joana Cotar

The initiative wants to encourage legislative support for technological innovation and discuss Bitcoin’s benefits transparently in the parliamentary setting. The ultimate goal is to integrate Bitcoin-related policies that protect civil liberties and promote economic growth, according to Cotar’s website.

Aaron Feuerstein

Aaron Feuerstein

Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.

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