German MPs call on government to stop selling BTC

Source: Blockchain Knights

Bundestag member Joana Cotar has strongly criticized the German government’s recent decision to sell off a large number of its BTC holdings.

The German government recently transferred over $195 million worth of BTC to various Crypto asset exchanges, including Coinbase, Kraken, and Bitstamp.

The move has increased market volatility, with BTC prices experiencing significant fluctuations. Critics believe that this large-scale liquidation by the government could have a long-term negative impact on the stability of the Crypto asset market.

The assets being sold were seized during a high-profile investigation into the illegal movie streaming site Movie2k.to, which resulted in the seizure of approximately 50,000 BTC, currently valued at over $3 billion.

The government is also continuing to liquidate assets it seized in a high-profile case, and the sale has sparked controversy and discussion both inside and outside of Germany.

In a series of tweets, Cotar condemned the government’s move and contrasted it with discussions in the United States, where BTC is considered a strategic reserve currency.

She expressed her concerns to Saxony’s ministers, Premier Michael Kretschmer, Finance Minister Christian Lindner and Premier Olaf Scholz, urging them to rethink the strategy.

She highlighted the counterproductive nature of this approach and invited officials to an upcoming lecture event on October 17 titled “The State’s BTC Strategy.”

Samson Mow, CEO of JAN3 and a well-known BTC strategist, will also attend the event. Discussions will focus on how political decision-makers can use BTC to boost their country’s economy.

Mow is expected to offer insights on the potential benefits of holding BTC as part of a country’s financial strategy, a topic that is gaining traction around the world.

The event will also discuss issuing BTC-backed government bonds to attract a new class of investors interested in BTC-denominated fixed-income securities. Mow said these bonds could provide a stable source of funding for critical infrastructure projects, spurring economic growth and innovation.

The event parallels El Salvador’s move to pioneer BTC as legal tender in 2021, highlighting the potential for similar initiatives to drive economic transformation.

Mow has advised governments including El Salvador and Mexico, and his experience lends credibility to his advice.