Bulgaria’s 2018 decision to sell 213,519 seized Bitcoin is drawing renewed interest as the digital assets would now be worth over $25 billion, more than the country’s entire public debt of $24 billion.
The Bulgarian authorities originally acquired the Bitcoin during a 2017 crackdown on organized crime. At the time of seizure, the haul was worth approximately $3.5 billion, but the government opted to sell it just a year later when Bitcoin prices ranged between $4,200 and $10,000.
Current data from CoinMarketCap shows Bitcoin trading near $118,731, with the price climbing 1.64% in the past 24 hours. Earlier this month, Bitcoin hit a new all-time high of $124,000.
If Bulgaria had held on to its Bitcoin, the nation’s reserves could have completely offset its current sovereign debt, according to figures from World Economics. The decision has sparked debate across the financial and crypto sectors.
Alex Obchakevich, founder of Obchakevich Research, said the choice to sell may have been driven by Bitcoin’s unpredictable price movements. “Bitcoin’s volatility makes it difficult to use it as a stable reserve,” he explained.
He believes that holding a smaller share, between 10–15% combined with phased selling and hedging, could have offered a more balanced approach. Not all analysts share that view.
Robert Znidar, director at crypto platform Iconomi, suggested that the decision reflected a lack of understanding about Bitcoin’s long-term value. “
The sale was motivated by an unfamiliarity of the philosophy, utility, and mission of BTC,” he said. Znidar added that such a decision is unlikely to be repeated today, given how much crypto adoption has grown.
Valentin Mihov, co-CEO of Web3 market maker Enflux, said most governments at the time still considered Bitcoin too risky. “Custody was immature. Regulation was uncertain. The EU was tightening fiscal discipline,” Mihov noted.
He said he would have advised keeping 10–20% of the holdings as a strategic reserve, which would have placed Bulgaria ahead of many countries in recognizing crypto’s potential.
Global interest in government-held Bitcoin continues to rise. As of now, over 463,000 BTC, or about 2.3% of Bitcoin’s total supply, is held by sovereign states.
The U.S. and China lead with over 198,000 and 190,000 BTC, respectively. The United Kingdom, Ukraine, North Korea, and Bhutan are also among the largest holders.
