It has been 35 years since the introduction of the Deutschmark in East Germany on July 1, 1990, which signaled the decline of the East German Mark. Despite this change, banknotes from East Germany remained stored for over a decade in an underground facility near Halberstadt, Saxony-Anhalt. It wasn't until mid-2002 that KfW removed and disposed of these notes.
Following the monetary union in 1990, Staatsbank Berlin took responsibility for disposing of obsolete currency as it succeeded East Germany's central bank. While coins were melted down and sold to industry, approximately 3,000 tons of banknotes worth over 100 billion marks were left in tunnels at Halberstadt. In 1994, KfW became the legal successor to these holdings after merging with Staatsbank Berlin.
Initially, inspections showed no issues with storage safety until a break-in occurred in July 2001. This incident revealed that not all currency had deteriorated as expected. Consequently, KfW opted to destroy the remaining banknotes for security reasons.
The disposal process began in March 2002 when tunnel walls were broken open and notes mixed with gravel and sand were extracted from a long tunnel system. By June 2002, they were transported via nearly 300 truckloads to BKB Buschhaus waste incineration plant for destruction.
KfW retains samples of these currencies within its Historical Group Archive. These items offer insights into German monetary history and are loaned out to museums periodically. A special exhibition showcasing some pieces will be displayed at the DDR Museum in Berlin starting July 1st.
Additionally, director Natja Brunckhorst depicted this story through her film "Two to One" released last year.