U.S. Shifts $1B in Seized Bitcoin to New Wallets
Wallets linked to the U.S. government moved 12,267 Bitcoin, worth roughly $1.01 billion, into new unlabeled addresses. Arkham data showed no signs of exchange deposits, pointing to an internal reorganization rather than a sale. The coins came from assets seized after the 2016 Bitfinex hack, and an executive order directs seized Bitcoin into the Strategic Bitcoin Reserve instead of being sold.
The transferred coins trace back to cryptocurrency seized after the 2016 Bitfinex breach. Blockchain analytics firm Arkham reported that the 12,267 BTC, about $1.01 billion, went to fresh, unlabeled addresses rather than exchange-linked ones, indicating an internal custody adjustment.
Other recent transfers included about 3,200 BTC, roughly $264 million, plus $119 million in USDT, entering Coinbase Prime addresses tied to FTX, Alameda, and Bitfinex seizures. A March 2025 executive order requires seized Bitcoin to go to the Strategic Bitcoin Reserve, not be sold. U.S.-linked wallets still hold about $25.5 billion in crypto.
The shift may reassure crypto markets that seized coins are not being liquidated, potentially reducing fears of sudden sell pressure. Taxpayers and government asset managers could be affected if custody changes improve transparency or security, while investors may watch reserve policy as a signal of long-term state handling. Because no exchange deposits appeared, immediate price effects seem unlikely, though future disclosures could shape public trust in how authorities manage seized digital assets.