US Government Enters the Bitcoin Game with Seized $6 Billion Stash

US government seizes $6B worth of Bitcoin, plans to sell in batches starting 2023. The funds in holding were seized from three separate incidents.

Written By:
Harsh Chauhan

Last updated: May 6, 2023 12:46 PM

Published May 6, 2023 12:46 PM

Last updated: May 6, 2023 12:46 PM

Published May 6, 2023 12:46 PM

The U.S. government has been revealed to be holding more than $6 billion worth of Bitcoin in custody on-chain, seized from three separate incidents, according to a recent tweet by Arkham.

The bitcoins were seized from Silk Road in 2020, Bitfinex hackers in 2022, and Silk Road hacker James Zhong in 2022.

The US Government currently custodies over $6B in BTC on-chain.

Their holdings comprise BTC seized from 3 events:

2020 Seizure from Silk Road – 69.37K BTC
2022 Seizure from Bitfinex Hack – 94.64K BTC
2022 Seizure from James Zhong – 51.326K BTC

Track these wallets with Arkham👇 pic.twitter.com/zWyXwNLmnz
— Arkham (@ArkhamIntel) May 5, 2023

The government plans to sell the seized BTC in batches starting in 2023, with 9,861 BTC already sent to Coinbase for liquidation.

However, the current structure of Bitcoin on the 1-hour chart shows an uncertain future, with the market undergoing complex fluctuations and patience recommended.

On the daily chart, there is a chance of a three-buy as long as Bitcoin does not fall below $29,000, but the market is expected to remain in a complex and volatile state.