Article Update: 1.25 pm UTC: This article has been revised to incorporate statements from Vijay Pravin, CEO of bitsCrunch.
The attention of the public has been captured by the recent crypto transfers made by the governments of Germany and the United States. The German government has carried out notable transfers of Bitcoin (BTC), while the U.S. government has moved Ether (ETH) from seized funds.
On July 1, the German government transferred 1,500 BTC, equivalent to approximately $95 million, to multiple crypto exchanges. At the same time, the U.S. government moved 3,375 ETH, worth $11.75 million, to an undisclosed address.
According to data from the onchain analytics platform Arkham Intelligence, over the past two weeks, the German government has transferred 2,700 BTC to several exchanges, including Bitstamp, Coinbase, and Kraken. Currently, the German government holds 44,692 BTC, valued at around $2.82 billion.
In their most recent transfers, 400 BTC out of the 1,500 transferred were sent to the aforementioned major crypto exchanges. Additionally, on June 26, 750 BTC was transferred, with 250 of it going to Bitstamp and Kraken.
Arkham Intelligence data showing the movement of German government crypto over the past four days can be seen in the image below:
[Insert image of Arkham Intelligence data]
According to Arkham Intelligence data, the U.S. government has made substantial transactions involving the funds seized from Estonian crypto entrepreneurs Sergei Potapenko and Ivan Turogin. On June 30, they transferred 11.84 BTC, valued at around $743,000, from another seized funds address. Subsequently, the entire $11.75 million worth of ETH holdings was moved to a previously unassociated address.
Arkham Intelligence data displaying the movement of U.S. government crypto over the past two years can be seen in the image below:
[Insert image of Arkham Intelligence data]
These recent frequent transfers by both governments suggest a strategic approach to managing their held funds. Germany may be considering liquidating its holdings on major exchanges, as indicated by their transfers. The U.S. government’s decision to move funds to an unknown wallet might signify a broader shift in ETH fund management.
Vijay Pravin, CEO of bitsCrunch, shared with Cointelegraph that the price of BTC has experienced a 6% decline since the commencement of government transactions.
The recent adoption of the Markets in Crypto-Assets Regulation (MiCA) by the European Union could potentially impact Germany’s crypto transfers. MiCA is expected to significantly shake up the crypto market as it applies to stablecoins and crypto asset services.
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