The U.S. government transferred $2 billion worth of seized Bitcoin on Monday, causing a drop in Bitcoin prices. Blockchain data from Arkham Intelligence revealed that a wallet labeled "U.S. Government: Silk Road DOJ" sent 29,800 BTC, originally tied to the Silk Road dark web marketplace, to an unknown address.
Out of the total transferred, 10,000 BTC, valued at $670 million, was moved to a different address, suspected by Arkham analysts to be an institutional custody or service deposit. Such movements often indicate upcoming asset sales, raising concerns among investors.
Following the transfer, Bitcoin's price fell below $67,000, down from a session high of $70,000 earlier in the day.
At the time of reporting, Bitcoin was trading at $66,432 a 3.24% decline over the past 24 hours.
The broader CoinDesk 20 Index remained flat during the same period.
The timing of the U.S. government's move coincided with former President Donald Trump's pledge at the Bitcoin 2024 conference in Nashville. He promised to create a "strategic national bitcoin stockpile" if elected, adding another layer of intrigue to the situation. The U.S. is currently the largest holder of Bitcoin among world governments, with $13.9 billion worth of the cryptocurrency.
China follows closely with $13 billion, while Germany recently sold off its Bitcoin holdings, originally acquired from a piracy website seizure. This sale has been criticized by some, including a German parliament member, for not capitalizing on Bitcoin's potential as a hedge and diversification tool.
The 28,000 BTC moved by the U.S. government was part of assets seized from Silk Road. Initially confiscated in 2020, the Bitcoin was worth over $1 billion at the time. The U.S. government's crypto portfolio still holds more than $12 billion in Bitcoin, according to Arkham Intelligence.
El Salvador continues to buy Bitcoin, including a recent purchase of 11 BTC, increasing its total holdings to over 6,000 BTC. President Bukele has also expressed interest in acquiring Bitcoin seized by the U.S. government, further solidifying the country’s commitment to cryptocurrency.
AnaisAnalyst are speculating that with a little over a week before Donald Trump regains his title as the President of the United States, the outgoing Joe Biden administration might be desperate to to sell off all of the government-held Bitcoin to thwart Trump's plan of creating a Bitcoin reserve.
XingChiStandard Chartered has launched digital asset custody services in Luxembourg, focusing on Bitcoin and Ether, to cater to institutional investors in Europe.
WeatherlyA 24-year-old Dutch law student, once regarded as a crypto genius, was arrested this week after going into hiding after being harassed by investor. The man, who styled himself as a crypto banker, was pursued by his investors after his trading scheme collapsed, leaving around 300 people, including friends and family with losses totaling up to 4.5 million Euros.
XingChiThailand authorities broke into a Bitcoin mining farm in the wee hours of the night and confiscated nearly 1,000 Bitcoin mining machines during a raid on the site located in the Phanat Nikhom district of Chonburi.
XingChiGelephu Mindfulness City (GMC) in Bhutan has added Bitcoin, Ethereum, and Binance Coin to its strategic reserves to strengthen its economy and embrace digital assets. The move follows the introduction of new laws to regulate digital asset services and is part of Bhutan's broader strategy to expand its role in the cryptocurrency market.
AnaisA recent study found that most crypto advice on TikTok is misleading, with over half of videos promoting risky investments without proper warnings. Many influencers push specific coins, make unrealistic promises, and lack proper qualifications, putting viewers at high financial risk.
WeatherlyA Russian man was assaulted and robbed by a fellow country man at a luxury hotel in Thailand. During the assault, the victim suffered countless bruises and several blows to the head, some of which were so serious that it knocked him unconscious in the hotel room toilet. Luckily, the man managed to survive the attack but it left him $20,000 poorer.
XingChiMetaplanet aims to increase its Bitcoin holdings to 10,000 BTC by the end of 2025. The company grew its holdings from 225 to 1,761 BTC in 2024, using bond issuances for funding.
WeatherlyToday, marks the sweet 16th birthday of bitcoin, which was born on 3rd January, 2009. This pivotal moment marked the official launch of Bitcoin, the world’s first cryptocurrency, setting the stage for a financial and technological revolution that continues to influence the modern economy.
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