US Govt Moves $8M in Bitcoin: Trump's Reserve Takes Shape
US Government Relocates $8 Million in Bitcoin
A recent Bitcoin transfer, tracked by blockchain analytics firm Arkham Intelligence, reveals that a crypto wallet linked to US authorities moved over $8 million worth of Bitcoin. This action follows President Trump's executive order establishing a Strategic Bitcoin Reserve, marking a significant development in the US government's approach to cryptocurrency.
Key Takeaways
- President Trump established a Strategic Bitcoin Reserve as a long-term US asset.
- $8 million in Bitcoin, seized from a fraud scheme, was relocated to comply with the new executive order.
The Bitcoin originated from assets seized from a Binance account belonging to Wanpadet Sae-Heng of Thailand. These assets included 97 Bitcoin and other digital assets like Dogecoin, Ethereum, and Cardano, linked to an alleged "pig butchering" investment fraud.
The transaction split the assets into two wallet addresses: $10 to one address and the remaining $8 million to another. The purpose of this division remains unclear.
This transfer follows a $1.9 billion Bitcoin deposit into Coinbase Prime last December, highlighting ongoing activity in the government's management of digital assets.
Government Bitcoin Holdings and Past Decisions
The US government currently holds approximately 198,012 BTC, valued at roughly $17 billion. However, according to Bo Hines, Trump's top crypto advisor, the government previously held around 400,000 Bitcoin. Regrettably, nearly half was sold prematurely for significantly less than $1 billion; those assets would now be worth over $17 billion.
David Sacks, Trump's AI and crypto czar, similarly noted potential losses of an additional $17 billion if the government hadn't sold approximately 195,000 BTC seized and sold in the last decade.
The US Marshals Service, responsible for asset management, is under scrutiny for possible mismanagement, given the establishment of a national Bitcoin reserve.
Trump's Executive Order and Future Implications
Trump's March 6th executive order dictates that seized Bitcoin will be added to the Strategic Bitcoin Reserve, maintained separately from the national digital asset stockpile, as a long-term investment. The Treasury Secretary retains authority to determine management strategies, including potential sales. The order also mandates a review of all federal digital asset holdings within 30 days and authorizes strategies for acquiring additional Bitcoin for the reserve without increasing taxpayer costs.
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