Bitcoin on edge as UK considers selling seized $7.1B BTC stash
The post Bitcoin on edge as UK considers selling seized $7.1B BTC stash appeared on BitcoinEthereumNews.com.
The UK government could be about to embark on a huge Bitcoin stash sale, worth more than £5.4 billion ($7.1 billion). The stash consists of Bitcoin seized in 2018 as part of a police operation to take down a Chinese Ponzi scheme using Britain to hoard crypto assets among others.. The 61,000 Bitcoin seized at the time were worth a fraction of what they are now. However, with the value of Bitcoin skyrocketing, trading for more than $123,000 (£92,000) last week, the haul is now one of the biggest crypto seizures worldwide. Such a sell-off would occur at a crucial time for the UK economy. Chancellor Rachel Reeves is facing growing calls to fill a £20 billion fiscal hole. The country is struggling with stagnant growth, climbing borrowing costs, and stubborn inflation that is already raising concerns about keeping interest rates up longer. To make up the shortfall, ministers have signalled that they may have to increase taxes, a politically perilous gambit. At this moment, the windfall from seized Bitcoin is seen as an unorthodox but attractive solvent. The Home Office is developing proposals for a “cryptoasset holding and realization framework”, which would enable police to store and sell digital currencies such as Bitcoin securely. It would also allow for efficient handling, liquidation, and re-distribution of assets seized during investigations. It’s unclear how much cryptocurrency the UK government currently holds. However, the volume of digital assets seized by police forces across the country last year alone highlights a significant shift—digital currencies are now rivaling, and in some cases surpassing, traditional cash in scale and value. Treasury move rattles Bitcoin market News of the potential sale has sent shockwaves through the cryptocurrency community. Bitcoin, which has more than doubled in value since the start of the year, continues to climb, fueled…
Filed under: News - @ July 20, 2025 12:32 am