US Government Wallet Sends Bitcoin for USD $240 Million to Coinbase – DiarioBitcoin

The BTC sent correspond to funds seized from a former supplier of Silk Road, which were confiscated at the beginning of the year during his court trial.

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• US government sent funds BTC to Coinbase
• He sent about 3,940 BTC seized from a former supplier of Silk Road
• The operation occurs amid a bearish movement for Bitcoin and the crypto market

A wallet Bitcoin associated with the US government sent today to Coinbase almost 4,000 BTC valued at more than USD $240 million, an action that could be interpreted as an attempt to liquidate its holdings in the digital currency.

Will the US government sell 4,000 bitcoins?

The information was provided by the research firm Arkham Intelligence, who in a message published through their X account indicated that the wallet sent a total of 3,940 BTC, which would have been originally seized from a supplier of Silk Road.

In this regard, Arkham explained that the funds originally belonged to Banmeet Singh, which were confiscated at the beginning of the year during the trial against him:

Update: US Government Sends $240M BTC to Coinbase Prime

The US Government just moved 3,940 BTC ($240M) to Coinbase Prime.

This BTC was originally seized from narcotics trafficker Banmeet Singh, and forfeited at trial in January 2024.

Transaction: https://t.co/hZ1CwqWCmF pic.twitter.com/9t6k8Wdizq

— Arkham (@ArkhamIntel) June 26, 2024

While it is not unusual for the US government to market crypto funds seized during investigations, this move comes a year and a half after another 50,000 were marketed. BTC related to the case of Silk Road, which were sold for USD $2,000 million. Later, in July 2023, he again sold another stash of 9,861 bitcoins valued at about USD $216 million.

At the beginning of this year, the US government announced that it would put up for sale some 2,858 BTC additional, valued at that time at around USD $129 million. These would have been seized from Ryan Farace, one of the people arrested and tried in 2018 as part of the investigation against Silk Road,

Bearish moment for Bitcoin

The movement of these funds occurs at a time when the price of Bitcoin and the main cryptocurrencies have gone down, precisely as a result of a series of events that are generating reactions among enthusiasts and investors.

The most important fluctuation came at the beginning of this week when the Japanese exchange that declared bankruptcy, Mt. Gox, announced that it will officially begin the due process of compensation to the affected victims, to whom it will pay with funds BTC and BCH. This fact implies the possible entry of some 141,000 bitcoins into the market, which would boost supply over demand and generate a drop in prices.

Later we have the movements made by the German government, who in recent days sent some 1,495 BTC to various exchanges, presumably with intentions to exchange them for fiat funds for unknown reasons.

After these events, the price of Bitcoin At the time of publication, it stands at around USD $60,976 per unit, a figure that represents a drop of 1.53% in the last 24 hours.

Article by Angel Di Matteo / DailyBitcoin

Picture of Unsplash

WARNING: This is an informative article. DiarioBitcoin is a media outlet, it does not promote, endorse or recommend any particular investment. It is worth noting that investments in cryptoassets are not regulated in some countries. They may not be suitable for retail investors as the entire amount invested could be lost. Check the laws of your country before investing.