US Government Sees 'Cryptocurrency Spring Fever' as Great Time to Auction Bitcoin

The press release writers at the U.S. government's General Service Administration (GSA) are gushing about "cryptocurrency spring fever." It might not be a coincidence that the agency plans to sell more than $300,000 worth of bitcoin at an auction next week.

According to an announcement posted Wednesday on the agency's website, the GSA is offering commission-free bidding on 6.79 BTC, divided into 10 lots. On Thursday, bitcoin was changing hands around $50,800, so the total amount set for auction works out to roughly $345,000. The auction will take place on the GSA Auctions website, starting on March 29 at 5 p.m. ET.

"Get ready for cryptocurrency spring fever on GSA Auctions," according to the press release. "It’s time to let your bitcoin portfolio bloom by placing a winning bid during GSA Auctions’ upcoming cryptocurrency sale."

The auction comes just weeks after the GSA conducted its first auction of bitcoin – a chunk of 0.7501 BTC that went for $53,104.

• While the federal government has been auctioning bitcoin since 2014, this will be the second time cryptocurrency is being sold using GSA Auctions.
• The previous auction took place on March 17 with 31 bidders. The winning bid was at $53,104 at 0.7501 BTC. That works out to $70,796 for a full bitcoin – more than 20% over the market price of about $59,000 on March 17. So it wasn't exactly a bargain. But the government apparently got a good price.
• “Our first steps wading into the cryptocurrency market quickly became one of our hottest auctions of 2021, but it was really just a test run for our latest bitcoin auction,” Thomas Meiron, regional commissioner for GSA’s Federal Acquisition Service, said in the press release.
• “We expect this auction will generate even more excitement among cryptocurrency investors,” Meiron said.
• According to the press release, GSA Auctions is a service of the U.S. General Service Administration that serves as the government's online clearinghouse for federally owned assets and equipment such as office furniture, vehicles, scientific equipment and collectibles.