This summer, the German government sold 50,000 Bitcoins in two months. The heavy selling pressure once made the cryptocurrency market cry. As a result, it missed out on this surge in the market and made $1.6 billion less. However, with the U.S. government This pales in comparison to the potential gains that are being missed.
In order to monetize the assets involved in the pirated film and television paradise "movie2k.to", the German government sold 50,000 Bitcoins at an average unit price of US$57,600 about four months ago, cashing out a total of US$2.88 billion.
Unexpectedly, in the following months, the price of Bitcoin rebounded all the way, not only returning to historical highs after the US election, but also skyrocketing by nearly $10,000 on November 11, the largest single-day increase in history. Had the German government stepped in later, the asset would now be worth as much as $4.5 billion, a potential gain of 56% more.
The U.S. government also "sells flying"
In fact, the German government is not the only country that has missed out on large potential gains by "selling too early." According to statistics, the U.S. government has sold a total of 195,091 Bitcoins in 11 auctions in the past 10 years, cashing out a total of $366.5 million.
Based on current currency prices, the value of these Bitcoins is now close to $17 billion. In other words, the U.S. government has made a full $16.6 billion less due to premature selling.
However, Trump may adopt a different strategy after taking office. He has said that if he can enter the White House, he will never allow the US government to sell any Bitcoin, but instead hold it for a long time, saying that it will become a "national The core of "Bitcoin Strategic Reserve".
Republican Senator Cynthia Lummis of Wyoming later drafted a bill proposing that the U.S. government purchase 1 million Bitcoins, with a market value equivalent to $88 billion. The bill also states that states can also purchase Bitcoin on their own if they wish.
She said: "Establishing a Bitcoin strategic reserve and using digital hard assets to back the U.S. dollar will consolidate the United States' global financial leadership in the coming decades."
However, after Trump was elected, as the price of Bitcoin soared, the cost of "buying 1 million Bitcoins" has become out of reach.
"Selling Bitcoin too early! The German government made $1.6 billion less, and the U.S. government "leaked a big fish."" This article was first published on (Block Guest).
