German MP calls on the Government to “stop selling Bitcoin”

German MP Joana Cotar criticized the country's government's decision to massively sell Bitcoin instead of holding BTC as a hedge.

Ms. Joana Cotar, a member of the German Federal Parliament, has called on the country's government to stop selling Bitcoin in recent times, which is causing great fear in the cryptocurrency market.

Ms. Cotar, a member of the far-right party "Alternative for Germany" (AfD), on July 4 posted an open letter to German Prime Minister Olaf Scholz, Finance Minister Christian Lindner and Saxony State Premier Michael. Kretschmer, urged them to change their decision to sell Bitcoin held by German officials.

Congresswoman Joana Cotar said that Bitcoin brings many benefits to Germany, such as becoming a strategic reserve asset to hedge against risks such as inflation and currency devaluation, helping the country promote technological progress and shape the economy. into economic independence.

Ms. Cotar also invited all three people to a discussion with Bitcoin expert Samson Mow on October 17 to learn more about the potential of BTC for countries, thereby building an overall strategy about Bitcoin.

As reported by Coin68, in January 2024, Germany announced that it had confiscated 50,000 Bitcoins from the pirated movie website Movie2k. By the end of June, the Berlin government's wallet address began transferring funds to popular Western crypto exchanges such as Coinbase, Kraken and Bitstamp, most likely for liquidation.

According to Arkham's statistics as of the morning of July 5, the German government's wallet had transferred 7,726 BTC abroad, worth nearly 440 million USD at the time of writing. Berlin still owns 42,274 BTC, equivalent to 2.4 billion USD.

Bitcoin price on the morning of July 5 dropped to 55,145 USD after the transfer of 2.7 billion USD in Bitcoin by another "whale", Mt. Gox. This is the lowest price of BTC since February 2024.

In a related development, "crypto tycoon" Justin Sun on the afternoon of July 4 announced his readiness to dialogue with the German government to buy back the amount of BTC about to be sold, thereby reducing pressure on the market. . However, this call is not taken seriously by the cryptocurrency community because Justin Sun has previously made many statements to "rescue the market" similar to the events of FTX, Credit Suisse, DCG, etc. liquidity crisis in mid-2022... - and then ended up "breaking their promises".