German Police Seizes Bitcoin Price Gains

German Police Seizes Bitcoin Price Gains
«The construction of the criminal engineering institute in Wiesbadener Appelallee». Photo of «WO ST 01» about Wikimedia Commons. License: CC BY-SA 3.0 de

At the end of January, The LKA Saxony Confiscated 50,000 Bitcoins from the Former Video Platform Movie2k.to. Now the BKA Has Begun to sell the bitcoins-but still retains a significant, inflation-resistant reserve.

When the Saxony State Criminal Police Office (LKA) Announced in January that it had confiscated bitcoins from the masterminds behind the illegal video platform movie2k.To, it was sensational – as the sum of 50,000 bitcoins what so fantastically high that it seemed like a tuna fish in a goldfish bowl in the hands of the lka. At that time, 50,000 bitcoins were WERE WORTH Two Billion Euros, Nearly Three Billion Euro’s Today, which Exceeds the Entire Annual Budget of the Saxon Ministry of the Interior.

However, This Presumed Largest Confiscation in German Police History Has Since Been Taken Over by the Federal Criminal Police Office (BKA). The Officers There Prepared the Sale – And now Seem to Be Starting IT. On the public analysis platform arkham intelligence, the bitcoins of the bka have bee marked so that it can be publicly tracked what happens to topic.

About Six Days Ago, Activity Began in the Wallets. As a test, The BKA Sent 0.001 BTC – Approximately 60 Euros – To Four Exchanges: Bitstamp, Coinbase, Kraken, and Presumably Bitcoin.de. After Successful Transactions, IT Began Depositing the First Batches of 500 Bitcoin Each – Nearly 30 million euros – On the Exchanges Five Days AGO. By now, it has deposed around 1.400 Additional bitcoins; Somewhat Puzzling is a Withdrawal of 300 Bitcoin from the Kraken Exchange Four Days AGO.

According to Arkham Intelligence, The BKA Currently Holds 46.859 Bitcoins, which Still amounts to about 2.8 Billion Euros. Assuming the BKA Held 3,100 Bitcoins on the Exchanges and Hypothentically Sold Them in Full, this would correspond to about 175 million euros. Not a small sum, which the bka surely knows how to utilize – but just a drop in the bucket compared to the total holdings.

Bitcoins May Benefit Criminals, and They May Have Helped the Makers of Movie2k and other cybercriminals to receiver and launder money. But today, The Police Benefit Massively from IT, and Especialy the German Police Enjoy an almost inexhausable reserve Thanks to Bitcoin. If the bka does not dump the coins according to protocol and disregards the price on the market but rather Sells ThemCording to the financial need of the agency and the course development – that’s the German polic would be the first auto of the first to hold bitcoins in a Similar way to Microstrategy Wood Make Bitcoin Its Primary Liquid Reserve. The BKA would have a «Bitcoin strategy»; The Hackers’ and Cybercrime Money would be transmmed into money for the polic and law enforcers.

For Bitcoin Holders, However, This is not Particularly Shining News. The fact that the bka is putting the coins on the market nearly at the same time as the Trustee of Mt. Gox Announces the Repayment of the Recovered Bitcoins Could Create An Uncomfortable Selling Pressure That May Dampen Any Price Euphoria for the Rest of the Year.