The German government transferred another 700 bitcoins

The German government continued the trend that started last month and extended significant Bitcoin (BTC) transfers last day.

Bitcoin addresses linked to German authorities sent another 700 BTC worth $40.47 million to a ‘139PoP' address this weekend. This transaction was identified by Arkham via chain analytics firm.

German Government Bitcoin Transfers

According to reports, this transfer shows the desire to sell the property, because the address without an account can be an institution or a service provider without payment. Meanwhile, this is not the first time the German government has dealt with the address. In the last three days, the authorities have sent more than 1,200 BTC to this wallet.

The German government began transferring 50,000 BTC to crypto exchanges such as Coinbase, Bitstamp and Kraken earlier this year after the seizure of 50,000 BTC from movie piracy site Movie2k last month. Blockchain analytics platform Lookonchain revealed that Germany had the highest BTC transfer rate this month. This transaction reduced his holdings to around $2.3 billion to 39,826 BTC.

Read more: How to make money with Intel-To-Earn on Arkham Intelligence

This ongoing sales activity has drawn criticism from German Bundestag member Joanna Kottar. The MP urged the government to develop a comprehensive Bitcoin strategy instead of hastily selling its holdings.

Kotar argues that bitcoin offers an opportunity to diversify the state's assets and reduce the risks associated with traditional investments. In addition, she pointed out that Bitcoin's scarcity and deflation have served to protect against inflation and currency devaluation.

“Instead of holding bitcoin as a strategic reserve currency, as is being debated in the US, our government is selling it at a higher rate,” Kotar lamented.

Meanwhile, the founder of TRON, Justin Sun, has proposed that the German government buy BTC holdings to reduce the impact of the market. However, CryptoQuant CEO Ki Young Ju argues that the government's sell-off activities have had little impact on the price of BTC, which will account for only 4 percent of the total value as of 2023.

By 2023, $224 billion has entered this market. State-owned BTC contributed about $9 billion to the results. As of 2023, the value gained from the total amount is only 4%. Don't let government FUD ruin your business.” Ju wrote.

Read more: Who will have the most Bitcoins in 2024?

According to data from Arkham, governments including the US, Germany, the UK and El Salvador hold the largest amount of Bitcoin, totaling around $18 billion.