Joana Cotar, a member of the German Bundestag, the federal parliament, condemned the government’s recent mass Bitcoin sell-off on Thursday, categorizing it as “counterproductive” and “not sensible.”
The Bitcoin advocate, who last year advocated for recognizing Bitcoin as legal tender in Germany, stated on X that she advocates for preserving BTC as a “strategic reserve currency” rather than its widespread sale.
She urged the government to halt the enormous sell-off, describing the government’s Bitcoin selling spree as “not sensible and counterproductive.”
Cotar has written letters to Michael Kretschmer, a member of the Christian Democratic Union (CDU), Christian Lindner, the Federal Minister of Finance, and Chancellor Olaf Scholz, outlining her grievances.
The translation of her letter stated, “I am writing to you today to implore you to refrain from a hasty sale of Bitcoin in state ownership.”
“I suggest you develop a comprehensive Bitcoin strategy rather than selling.” This may involve the preservation of Bitcoin in the treasury, the issuance of Bitcoin bonds, or the establishment of a regulatory environment that is favorable to Bitcoin.
Furthermore, Cotar has argued why a significant Bitcoin sell-off is not a logical action. She stated that Bitcoin presents a distinctive opportunity to participate in the diversification of the treasury.
“This reduces the risks associated with an overabundance of traditional asset classes,” she observed.
Joana Cotar emphasized the deflationary nature of BTC, which would function as a protective measure against currency devaluation and inflation. Additionally, she underscored the potential for Bitcoin to foster innovation, technological advancement, and the reinforcement of Germany’s economic sovereignty.
Germany’s Mass Bitcoin Sell-Off Continues
Cotar’s criticisms were issued hours after Germany transmitted an additional 1,300 Bitcoins on July 4. In installments, the assets were transmitted to exchanges such as Kraken, Bitstamp, and Coinbase.
Furthermore, According to Mempool. The German government has transmitted an additional 1,700 BTC, valued at $98.76 million, to an external address.
The recent mass Bitcoin sell-offs have fuelled speculation within the crypto community, resulting in a market slump. The BTC market price was $54,168 at the time of publication, representing a 4.28% decrease over the past 24 hours.
