News JVTech He’s one of the biggest owners of Bitcoin (BTC) and it’s scaring the crypto-sphere
If thanks to blockchain technology we more or less know who holds the most BTC, this whale knows how to be discreet. And yet there is something about it that is rocking the entire crypto ecosystem. Especially since the identity of the owner frightens more than one…
Nobody saw this crypto giant coming
In the cryptocurrency sector, a handful enjoy a large share of the valuable Bitcoins. called whales, These companies alone hold a significant portion of the approximately 19 million BTC
Among them we find in particular:
- The crypto exchange Binance (between 550,000 and 630,000 BTC or no less than 14 billion dollars)
- Software manufacturer Microstrategy (~130,000 BTC, 3.3 billion)
- The Winklevoss brothers (~70,000 BTC, 1.8 billion dollars)
Alongside these traditional acquirers are reluctant Bitcoin owners. This is the case with some governments.
En l’occurrence, The United States government is one of the largest holders of Bitcoinand this despite the strict measures it has recently imposed on the crypto industry on its territory.
This surprising situation is the result of several seizures by the authorities Americans in cases of illegal activities. For example, the government confiscated almost 69,369 Bitcoins from the notorious drug sales site Silk Road.
This big takeover isn’t the only one on the US government’s agenda, however. Overall, the company values ”21shares”. The country alone holds almost 205,000 bitcoins, or about 5 billion dollars
The United States government is one of the largest owners of #Bitcoin 🇬🇧
Since 2020, it has seized more than 215,000 #BTC those who broke the law.
This is currently worth $5.67 billion and roughly 1% of circulating supply. pic.twitter.com/F89Da0ALvx
— Goku 🗞 (@Crypto__Goku) March 26, 2023
These are mainly 3 cases:
- Bitfinex crypto exchange hacked in 2016 (received 94,643 BTC in 2022)
- The aforementioned Silk Road in 2015 (69,369 BTC received in 2020)
- The Silk Road hack in 2012 (51,326 BTC received in 2022)
While the United States is now one of the largest holders of Bitcoin, many crypto fans are concerned…
The United States will sell an immense amount of Bitcoins (BTC).
If at first glance it doesn’t seem to have any direct impact on Bitcoin, A possible massive sale could still have a catastrophic impact on the price of cryptocurrency.
Specifically, the law of supply and demand requires that a sale is matched by a buyer. Only when there are not enough requests does the price adjust downwards to sell the remaining bitcoins. So, This is fueling fears of a Bitcoin price crash among crypto investors – especially since the US government seems to be crypto-hostile as of late.
These reasonable concerns have also become a reality as the government is getting serious after selling 9,800 BTC last March.
Exactly, the state plans to offload 41,490 bitcoins in connection with the 2012 Silk Road hacking case. This colossal amount corresponds to one billion dollars at the current bitcoin price will be sold in 4 lots this year. Therefore, Bitcoin could experience some turbulence.