- A wallet labeled as one owned by the US government moved close to 28,000 BTC to an unknown wallet.
- Blockchain intelligence firm suggest the address is connected to Coinbase.
- BTC is down 3%, dropping below $67,000 following the announcement.
The US government transferred $2 billion worth of Bitcoin to a wallet potentially linked to Coinbase Prime custody on Monday. The transfer follows Arkham Intelligence analysis revealing the US BTC holdings to be $12 billion. Meanwhile, BTC is down over 3% since the announcement.
Bitcoin sell-off stirs negative sentiment among investors
According to a report by Arkham Intelligence, the US government transferred 29.8K BTC worth about $2 billion to a new wallet address today.
A few hours after the initial transfer, Arkham reported that the US government divided the Bitcoin holdings between two addresses.
UPDATE: The U.S. Government has split the $2B Bitcoin into two addresses:
— Arkham (@ArkhamIntel) July 29, 2024
10,000 BTC ($669.35M): bc1qlap8hkt9genaljz5nt2zlehhudx63zlahr2zek
19,800 BTC ($1.33B): bc1qngydl7hmgdtmuqjmtsyj3pcwszv0yn5mj6kz4c
We believe this represents a 10,000 BTC deposit to an institutional… https://t.co/0aULBXGd8P pic.twitter.com/RTwtaqvMmM
Blockchain Intelligence firm Spot On Chain suggests that the wallet is a Coinbase Prime address, considering the Justice Department had earlier announced that the exchange would custody and provide trading services for its Bitcoin holdings.
The transferred Bitcoin is potentially linked to the DoJ's Silk Road confiscated funds.
The US government still holds 69,000 bitcoins seized from Silk Road founder Ross Ulbricht and 50,676 bitcoins seized from Jimmy Zhong, who was convicted for stealing the assets from Silk Road.
The move comes just a day after Republican nominee Donald Trump announced that he would fire Securities & Exchange Commission Chair Gary Gensler and prevent the US from selling its Bitcoin holdings if elected President. He also said he would ensure the country has a strategic Bitcoin reserve.
Senator Cynthia Lummis shared a similar sentiment at the conference after stating plans to introduce legislation calling for a Bitcoin strategic reserve to reduce the US national debt.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Tether mints another $1,000,000,000 USDT on Justin Sun’s Tron blockchain: TRX traders could profit
Tether, the world’s largest stablecoin issuer, has minted another $1 billion worth of USDT on the Tron blockchain according to Whale Alert data published Friday.
XRP Price Prediction: XRP back above $2 liquidating $18M in short positions, will the rally continue?
Ripple (XRP) seeks support above $2.0020 on Thursday after gaining 14% in the past 24 hours. The token trades at $2.0007 at the time of writing, reflecting growing bullish sentiment across global markets.
Avalanche Octane update goes live on mainnet, slashes transaction fees significantly
Avalanche (AVAX) Octane update, live on mainnet on Thursday, introduces a dynamic fee mechanism to the C-Chain. This mechanism reduces transaction costs during high network activity by adjusting real-time fees, as per ACP-176.
Dogecoin soars as 21Shares files S-1 for DOGE ETF
Dogecoin (DOGE) rallied nearly 12% on Wednesday after asset manager 21Shares filed an S-1 application with the Securities & Exchange Commission (SEC) to launch the 21Shares Dogecoin exchange-traded fund (ETF).
Bitcoin Weekly Forecast: Tariff ‘Liberation Day’ sparks liquidation in crypto market
Bitcoin (BTC) price remains under selling pressure and trades near $84,000 when writing on Friday after a rejection from a key resistance level earlier this week.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.