TL;DR
- Justin Sun offers to buy the German government’s $2.3 billion Bitcoin holdings to prevent negative impacts on the market.
- The German government has been selling seized BTC since January, triggering market concerns.
- Sun’s proposal aims to stabilize the crypto market during the current period of uncertainty, with Bitcoin currently trading around $57,400.
Tron founder Justin Sun has made an offer to the German government to acquire its holdings of Bitcoin valued at over $2.3 billion. Sun, renowned in the crypto industry for his activism and business ventures, proposed this measure with the goal of minimizing the negative impact on the market that could result from the German government’s continued sales of BTC.
Justin’s initiative comes after the German government has been actively selling Bitcoin since mid-June. The nearly 50,000 BTC were confiscated from the movie piracy site ‘Movie2k’ in January. Since then, the government has made several transfers to various cryptocurrency exchanges such as Coinbase, Kraken, and Bitstamp.
I am willing to negotiate with the German government to purchase all BTC off-market in order to minimize the impact on the market.
— H.E. Justin Sun 孙宇晨 (@justinsuntron) July 4, 2024
The label on the wallet linked to the German government belongs to the Federal Criminal Police Office (BKA), as confirmed by the Arkham Intelligence platform. In other words, the transfers are of governmental nature. Since these transfers began, concerns in the market have escalated over the potential impact of such massive BTC sales.
Justin Sun Seeks Relief for the Crypto Market
According to a spokesperson for the BKA, Kristina Sawazki, the responsibility for selling or converting seized Bitcoin into euros lies with the public prosecutor’s office or the competent court. This process is governed by Article 60 of the German Code of Criminal Procedure, and the proceeds are allocated to the State Revenue Office of the jurisdiction where the competent court is located.
Justin Sun’s proposal to acquire Bitcoin off-market aims to cushion the impact of the BKA’s sales, offering a potentially beneficial alternative for both the German government and the crypto industry. It is a strategic attempt to stabilize the crypto market, which is currently experiencing a period of significant uncertainty. According to the latest CoinMarketCap data, Bitcoin is trading at approximately $57,400. This reflects a 4.9% decline in the last day, increasing to 17.6% over the last month.
