Blockchain analytics firm Arkham has identified approximately 45,000 BTC, valued at around $5 billion, that the German government failed to seize from the defunct illegal movie streaming site Movie2k. This discovery comes after German authorities, specifically the state of Saxony, had already confiscated and sold 50,000 BTC from the same source in early 2024, liquidating them between June and July at an average price of $57,900 per Bitcoin.
Arkham's analysis, shared on social media platform X, reveals that the unseized funds are distributed across more than 100 wallets and have remained dormant since 2019. The firm suggests these assets are likely still controlled by the original Movie2k operators, as German authorities have not publicly acknowledged them. This oversight raises significant questions about the thoroughness of digital asset recovery efforts and highlights the persistent challenges law enforcement faces in tracking illicit cryptocurrency holdings.
The revelation underscores the critical role of blockchain analytics in uncovering hidden funds and could potentially impact Bitcoin's market dynamics if these dormant coins are ever moved or sold. German authorities may now be compelled to investigate Arkham's claims, potentially leading to another large-scale seizure attempt.