Key Takeaways
- The US government moved $1.92 billion in Bitcoin to new addresses.
- 10,000 BTC were transferred to Coinbase Prime, raising selloff concerns.
- Seized Silk Road funds are part of the Bitcoin being liquidated.
The United States government has transferred Bitcoin valued at approximately $1.92 billion, according to Arkham Intelligence.
This latest transaction involves funds seized from the infamous Silk Road marketplace. The Bitcoin was split between two addresses:
$969 million was sent to “33Tgpo…y3BShW,” and $949 million to “bc1qxkh…g6wc7p6.”
Coinbase Prime wallet
Of note, 10,000 BTC (worth over $350 million) was sent to a Coinbase Prime wallet.
Such transfers to exchanges typically signal market movement, leading to speculation about the government’s intent with these assets.
U.S. government transfers
This isn’t the first large Bitcoin movement by the US government.
In July, it transferred over $2 billion in Bitcoin.
These actions are part of the liquidation strategy for Bitcoin seized during law enforcement operations, including the takedown of Silk Road.
Global trends
Other nations have similarly liquidated their Bitcoin holdings.
Germany sold over 50,000 BTC earlier this year, and Bhutan recently offloaded $33 million worth of Bitcoin.
Bitcoin adoption
However, some countries are exploring Bitcoin adoption.
Switzerland’s Canton Bern has initiated a study on Bitcoin mining’s economic benefits, while US President-elect Donald Trump has promised to establish a strategic Bitcoin reserve.
The intent behind this $1.92 billion transfer remains unclear, but its impact on market sentiment is already evident.
