Germany has lost an estimated $1.7 billion in profits after selling its 50,000 Bitcoin cache in July. The assets, seized as proceeds from various crimes, were sold at $2.8 billion at $53,000 per coin. Fast forward to today, the asset’s price has increased, and the sold tokens are now worth $4.5 billion, with Germany losing $1.7 billion in profits.
The difference between the previous price and this present one is the 53% surge the asset witnessed in the last two months. The rally, pushed by Donald Trump’s recent victory in the United States elections has driven the asset close to $90,000. According to Polymarket odds, Bitcoin hitting $100,000 by the end of the year is placed at 62%.
Germany’s Bitcoin sale regret
According to reports, most sold tokens were connected to the Movie2k criminal case. German law permits authorities to sell assets when their value moves by 10%. However, Bitcoin’s surge has underscored the need to examine the law.
The assets were seized from pirated movie website Movie2k.co in January, with the price of one BTC at $43,000. Presently, Bitcoin has crossed that value, pushing towards $88,000.
During the period, German MP Joana Cotar discussed the likelihood of the United States using Bitcoin as a reserve asset. She suggested that European countries may soon be considering the same thing. With the recent development, it brings to mind how volatile the crypto market can be during certain periods.
The recent surge has been credited to Donald Trump’s re-election, with optimism about favorable regulations flooding the space. Aside from digital assets, assets linked to Bitcoin and stocks like the S&P 500 are also on a high. It remains to be seen how long the rally can last.
El Salvador becomes one of the biggest winners
El Salvador, like many other countries, has been tilting towards Bitcoin over the last few years. In 2021, El Salvador announced the adoption of Bitcoin as a legal tender, signaling a first in the world. The decision, at the time, sparked a lot of debate. However, the country’s bet has now paid off. The government has about 6,100 BTC worth $510 million, with its profit presently around $24.5 million.
The profit is also a win for President Nayib Bukele, who stuck to his Bitcoin belief despite several talks and issues. In November, the country announced plans to commit resources to acquire one Bitcoin per day. Aside from its Bitcoin foray, the country has also enjoyed several investments. This includes a $1.6 billion seaport deal, making it the largest private investment in its history.
The post Germany misses out on $1.7 billion profit after its Bitcoin sales in July first appeared on Coinfea.
