In mid 2025, the German government sold about 50,000 bitcoins seized from the Movie2k piracy operation. The sale price was roughly 54,000 dollars per bitcoin, a figure that now seems very low. Today, with Bitcoin prices soaring above 117,000 dollars, this move resulted in a missed profit of around 3.1 billion dollars.
Reasons Behind Germany’s Bitcoin Sale
The sale was driven by legal obligations. German law requires authorities to liquidate seized assets within a specific timeframe, forcing officials to convert the bitcoins into cash. Despite the cryptocurrency market’s volatility, the government complied with these rules.
Financial Impact and Lost Opportunity
About 50,000 BTC were sold at approximately 54,000 dollars each. The total revenue reached about 2.7 billion dollars. However, if held, these bitcoins would now be worth nearly 5.85 billion dollars, creating an unrealized loss of about 3.15 billion dollars. Selling early meant missing out on billions as Bitcoin’s value nearly doubled since.
Public and Political Criticism
Politicians and crypto experts voiced criticism. MP Joana Cotar suggested retaining the bitcoins as a strategic asset instead of a quick sale. The case highlights how governments struggle to manage digital assets in unpredictable markets.
Lessons on Managing Government Crypto Assets
This situation reveals the challenge of balancing regulatory compliance with market insight. Handling seized cryptocurrencies requires a nuanced approach, especially given the rapid fluctuations of crypto markets.
What Lies Ahead for Germany’s Crypto Holdings
Though this batch was sold, reports indicate Germany still holds thousands of bitcoins and is reevaluating its strategy. With markets volatile, future decisions carry significant stakes.
