The US government plans to sell 0.7501 Bitcoin at the current rates. There was no information provided on how they managed to acquire the digital currency. Was it a confiscation, or was maybe it was purchased way back when Bitcoin was not as expensive. This item for auction shows the general sentiment towards Bitcoin. We have to accept that slowly and steadily, it is going mainstream, and nothing can stop that. And now, not only companies, retail investors, but even the government is partaking in its trading.
The action of the US government
Generally, the US government sells things or equipment that are in surplus, and the general public can use. But after a long time, the government has officially announced about selling Bitcoin. Even in 2014, the US government sold 30,000 Bitcoins that were seized from the Silk Road Marketplace. Back then, too, the coins were auctioned in a similar event. Behold the fact that the same coins would now be worth over $1.5 billion, and the government just sold it for a fraction of that cost.
Widescale acceptance of Bitcoin
The simple fact that the government is ready to auction its digital currency shows the fact that they know people will buy it. Cryptocurrency has been seeing a massive increase in usage. One can easily notice the surge in prices and volume of major digital coins like Bitcoin and Etherium. But even after such an increase, do note that the total traffic of Bitcoin is still 20% less than January of 2017. Bitcoin is slowly gaining investments from all sources like institutions, banks, retail investors, and seemingly governments.
After the investment in Bitcoin by major companies like Tesla and Microstrategy, slowly, other companies are also following the suite and investing heavily. At the same time, the inclusion of Bitcoin as a payment method in Apply pay has made many believed in the long term aspects of the cryptocurrency. Companies like Mastercard and Visa also plan to add Bitcoin as a payment method on their portals and very soon allow you to pay worldwide using it.
The price of Bitcoin has surged by around 7% on Monday, and it has also broken the extreme $52,000 resistance. I hope that this resistance now acts as a support for the further growth of cryptocurrency. As of now, only a few notable banks are acknowledging Bitcoin as a valuable asset and are allowing its trading. But very soon we can expect more of them to join the party. One of the oldest banks in the US, BNY Mellon, has also started trading crypto. They will now hold, transfer or even issue digital currencies for their clients. The rate of growth and adoption of Bitcoin and other cryptocurrencies is very fast, and it’s just going to get faster from here on.
What are your thoughts on the government auctioning the 0.7051 BTC? And how do you think that the government managed to get their hands on cryptocurrency? Let us know in the comments below. Also, if you found our content informative, do like it and share it with your friends.
Also Read: Goldman Digital Assets record high crypto demand.