u.today
According to finance lawyer Scott Johnsson, the United States Marshals Service, a federal law enforcement agency, is "almost certainly" selling Silk Road-linked Bitcoin holdings.
As reported by U.Today, the U.S. government sent nearly $600 million worth of Bitcoin to the Coinbase exchange on Aug. 14.
Prior to that, the United States Marshals Service inked a partnership with the largest US trading platform for storing its confiscated coins. Many assumed that the US government simply sent these Bitcoins for custody. However, Johnsson is convinced already sold these coins or is selling them in the immediate future.
"Given the agreement requires USMS assets remain completely segregated, whenever a transfer is ultimately made to CB prime (or other commingled exchange address), you can be sure USMS has already sold or is selling imminently," he said in a social media post.
Once coins hit commingled addresses, it is "reasonable" to assume that they have been sold. "There was a backlog of forfeited BTC that was supposed to be sold already. Finalizing the services agreement appears to have been (at least part of) the hold-up," Johnsson added.
The US government's sales will be confirmed in the DOJ's Asset Forfeiture Program FY2024 report in January, according to the legal analyst.
According to data provided by Bitcoin Treasuries, the US government holds roughly $12.4 billion worth of Bitcoin. China's government comes in close second place with $11.1 billion.
Earlier this year, the German government went on a major Bitcoin selling spree, enraging cryptocurrency enthusiasts.