The German government has moved another portion of its massive Bitcoin reserves to exchanges.
according to Blockchain DataOn July 4, the German Federal Criminal Police Office (BKA) moved nearly $75 million worth of Bitcoin across multiple transactions. The funds were distributed across exchanges including Coinbase, Kraken, and Bitstamp.
This comes after the government moved around $315 million worth of Bitcoin to various platforms since mid-June. Germany also sold over $390 million worth of Bitcoin in less than a month.
In 2013, German federal police seized nearly 50,000 bitcoins linked to the former operator of the movie piracy site Movie2K. The hoard is worth an estimated $2.3 billion at today’s prices.
The steady flow of bitcoin to exchanges points to possible plans by Germany to liquidate parts of its reserves. This has raised concerns about the impact on the market price of bitcoin, which fell below $58,000 this week.
However, the amounts transferred so far represent a relatively small share of the massive bitcoin stockpile held by the German Federal Police. After the latest moves, Germany still holds around 40,000 bitcoins.
The sales mirror similar transfers by the U.S. government in recent weeks. The U.S. also holds bitcoins seized in criminal cases, raising concerns it may sell off reserves.
The liquidations come as repayments to creditors from the 2014 collapse of Mt. Gox appear set to begin in July, and the timing threatens to increase selling pressure on Bitcoin.
However, proponents claim that the amounts are equivalent to a small fraction of daily Bitcoin trading volumes.