U.S. government holds $5.3 billion in Bitcoin reserves
The post U.S. government holds $5.3 billion in Bitcoin reserves appeared on BitcoinEthereumNews.com. Recent data analysis indicates the U.S. government’s possession of a massive Bitcoin collection, making it one of the biggest holders worldwide. Crypto firm 21. co highlights that, based on meticulous scrutiny of public filings, the government’s coffers reportedly boast approximately 194,188 BTC. With the current market valuation, this digital treasure trove stands at an estimated staggering $5.3 billion. This substantial aggregation of Bitcoin primarily stems from three major seizures. In November 2020, officials cornered a digital wallet linked to the infamous Silk Road, netting 69,369 BTC. Another operation in January 2022 saw the interception of 94,643 BTC tied to the Bitfinex Hack. Moreover, a significant crackdown in March 2022 against one James Zhong added another 51,326 BTC to the government’s cryptocurrency reserves. However, these Bitcoin assets are not simply floating in the digital ether. They are securely stashed away in hardware wallets, encrypted devices known for their robust security features. These are predominantly under the stringent guard of the Justice Department and the Internal Revenue Service. But the journey of these seized assets into the government’s hands is not immediate. The U.S. Marshals Service, responsible for liquidating such assets, waits for a court’s green light through a forfeiture judgment. Consequently, this transforms the volatile cryptocurrency into government property, ready for auction. The tradition of selling Bitcoin has seen various models. A billionaire investor, Tim Draper, famously procured 30,000 BTC in a government auction in 2014. However, shifts in strategy have emerged, with authorities now favoring cryptocurrency exchanges for sales over public auctions. One such transaction unfolded in March this year, witnessing the transfer of 9,118 BTC through Coinbase, a move verified by subsequent public filings. The government’s approach to holding or selling these assets is not static. It hinges on court orders and the immediate context, reflecting a strategic, responsive…
The post U.S. government holds $5.3 billion in Bitcoin reserves appeared on BitcoinEthereumNews.com.
Recent data analysis indicates the U.S. government’s possession of a massive Bitcoin collection, making it one of the biggest holders worldwide. Crypto firm 21. co highlights that, based on meticulous scrutiny of public filings, the government’s coffers reportedly boast approximately 194,188 BTC. With the current market valuation, this digital treasure trove stands at an estimated staggering $5.3 billion. This substantial aggregation of Bitcoin primarily stems from three major seizures. In November 2020, officials cornered a digital wallet linked to the infamous Silk Road, netting 69,369 BTC. Another operation in January 2022 saw the interception of 94,643 BTC tied to the Bitfinex Hack. Moreover, a significant crackdown in March 2022 against one James Zhong added another 51,326 BTC to the government’s cryptocurrency reserves. However, these Bitcoin assets are not simply floating in the digital ether. They are securely stashed away in hardware wallets, encrypted devices known for their robust security features. These are predominantly under the stringent guard of the Justice Department and the Internal Revenue Service. But the journey of these seized assets into the government’s hands is not immediate. The U.S. Marshals Service, responsible for liquidating such assets, waits for a court’s green light through a forfeiture judgment. Consequently, this transforms the volatile cryptocurrency into government property, ready for auction. The tradition of selling Bitcoin has seen various models. A billionaire investor, Tim Draper, famously procured 30,000 BTC in a government auction in 2014. However, shifts in strategy have emerged, with authorities now favoring cryptocurrency exchanges for sales over public auctions. One such transaction unfolded in March this year, witnessing the transfer of 9,118 BTC through Coinbase, a move verified by subsequent public filings. The government’s approach to holding or selling these assets is not static. It hinges on court orders and the immediate context, reflecting a strategic, responsive…
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