Justin Sun eyes $2.3 billion German Bitcoin stash despite community skepticism

07/04/2024 22:05
Justin Sun eyes $2.3 billion German Bitcoin stash despite community skepticism

Tron founder Justin Sun offers to buy $2.3 billion Bitcoin from the German government.

Justin Sun eyes $2.3 billion German Bitcoin stash despite community skepticism Justin Sun eyes $2.3 billion German Bitcoin stash despite community skepticism 36 seconds ago · 1 min read

Market stakeholders question if Sun would pass the due dilligence that would be involved in the transaction.

1 min read

Updated: Jul. 4, 2024 at 3:27 pm UTC

Justin Sun eyes $2.3 billion German Bitcoin stash despite community skepticism

MelfarraTron / CC BY-SA 4.0 DEED / Wikimedia. Remixed by CryptoSlate

Justin Sun claims to be interested in buying the German government’s extensive Bitcoin stash, estimated to be valued at $2.3 billion.

In a July 4 statement on X, the Tron founder said:

“I am willing to negotiate with the German government to purchase all BTC off-market in order to minimize the impact on the market.”

The German authorities acquired the BTC holdings earlier in the year when they seized nearly 50,000 BTC from the piracy site Movie2k.to.

Last month, the government began divesting some of these assets via centralized exchanges like Coinbase, Bitstamp, and Kraken. As of press time, it had sold the Bitcoin to a balance of 40,359 BTC, worth $2.3 billion, according to the Arkham Intelligence dashboard.

Market experts pointed out that these activities had further exacerbated the current selling pressure on the flagship digital asset, which has declined by around 20% during the past 30 days to a two-month low of $57,089.

Community reacts

While several community members welcomed Sun’s intention, some pointed out that the tweet follows his pattern of “inserting himself in the story.”

Meanwhile, Mikko Ohtamaa, the CEO of Trading Strategy, opined that while Sun has the personal funds to pull off the deal, any European government would be unwilling to sell to a non-compliant buyer to prevent the assets from returning to criminals. He wrote:

“Mr Sun has $7 billion in his personal assets, so he could actually pull this off. However any EU government is unwilling to sell to non-compliant buyer (BTC would return to the hands of criminals).”

Similarly, Simon Dixon, the CEO of BnkToTheFuture, questioned if Sun could pass the due diligence involved in the transaction process.

Over the past year, Sun has faced considerable legal challenges, with the US Securities and Exchange Commission (SEC) alleging that he and his companies violated local securities law.

Mentioned in this article
Latest Bitcoin Stories
Latest Alpha Market Report
Latest Press Releases

Read more --->