On June twenty sixth, the US authorities despatched 3,940 Bitcoin to Coinbase Prime, Coinbase’s institutional buying and selling platform. Blockchain analytics agency Arkham Intelligence flagged the transaction.
JUST IN: 🇺🇸 US Authorities sends 3,940 #Bitcoin value $241 million to Coinbase 👀 pic.twitter.com/m14HpdeJ0s
— Bitcoin Journal (@BitcoinMagazine) June 26, 2024
The transferred Bitcoin was initially confiscated from convicted drug trafficker Banmeet Singh earlier in 2024. Singh was arrested in London in 2019 on distribution fees and extradited to the US in 2023.
As a part of his conviction, Singh forfeited over 8,100 Bitcoin, value round $150 million on the time, to US authorities.
Whereas the current switch of almost 4,000 Bitcoin is substantial, it represents only a fraction of the federal government’s complete Bitcoin holdings. Information exhibits the US authorities at the moment possesses round 214,000 Bitcoin value over $13 billion – making it the most important nationwide holder of Bitcoin globally.
A lot of the federal government’s Bitcoin comes from seizures associated to the shuttered darkish internet market Silk Highway. The notorious Bitfinex hack of 2016 additionally contributed to the stash.
The switch to Coinbase indicators the federal government could also be seeking to promote a few of its long-dormant Bitcoin reserves. This provides to fears of worth impacts much like the current German authorities sell-off.
Nonetheless, the quantity moved to this point is comparatively minor in comparison with every day Bitcoin buying and selling volumes. The US authorities nonetheless holds the overwhelming majority of its seized Bitcoin, now value billions extra because of Bitcoin’s meteoric worth rise.
