The United States government has reaffirmed its stance on cryptocurrency holdings, confirming that no Bitcoin forfeited through criminal or civil cases has been sold, in accordance with President Donald Trump’s Executive Order 14233. This legislation prohibits the sale of Bitcoin obtained via forfeiture, mandating that such assets remain within the Strategic Bitcoin Reserve (SBR).
According to a White House crypto advisor, the Department of Justice has verified that Bitcoin seized in connection with the Samourai Wallet case remains unsold, alleviating concerns over potential violations of the order. Patrick Witt, Executive Director of the White House President’s Council of Advisors for Digital Assets, shared on X that the forfeited assets continue to be part of the strategic reserve. Witt confirmed that the Bitcoin would not be liquidated and would remain within the reserve set aside for strategic purposes.
The DOJ has confirmed that the Bitcoin seized in the Samourai Wallet case is not being sold and will remain in the Strategic Bitcoin Reserve. This aligns with President Trump’s Executive Order 14233, which prohibits the sale of forfeited Bitcoin.
— Patrick Witt (@patrickjwitt) May 14, 2024
The disclosure responds to earlier reports, notably in November, when blockchain analysts highlighted a suspicious transfer of 57.5 Bitcoin from a US government-controlled wallet to a Coinbase Prime account. This raised questions about compliance with Executive Order 14233, signed in March by President Trump, which explicitly states that forfeited Bitcoin should not be sold but retained as part of the national strategy.
US Government Holds Over 328,000 Bitcoin
Data from Bitcoin Treasuries indicates that the US government currently owns 328,372 Bitcoin, valued at over $31.3 billion at current market prices. A significant portion of this reserve, approximately 127,271 Bitcoin, was forfeited in October following a seizure linked to a Cambodian company suspected of orchestrating a “pig butchering” cryptocurrency scam.
Future of the Bitcoin Reserve and Policy Developments
In an interview published earlier this week, Witt emphasized that developing the Strategic Bitcoin Reserve remains a top priority for the current administration. Progress hinges on coordinating legal and regulatory frameworks between Treasury and Commerce agencies. Legislation, such as the Bitcoin reserve bill sponsored by Senator Cynthia Lummis, aims to expedite the accumulation of 1 million Bitcoin over five years, emphasizing a budget-neutral strategy to avoid costs to taxpayers.
This ongoing effort underscores the US government’s evolving approach to digital assets, viewing Bitcoin as an asset of strategic importance, and underscores a broader commitment to integrating cryptocurrency into national policy frameworks.