Value of Bitcoin Holdings by U.S. Government Increases to $8.9 Billion
Thanks to Bitcoin's recovery in late 2023, the stash of BTC held by the U.S. government from criminal seizures has reached a value of $8.9 billion.
Value of Bitcoin Holdings by U.S. Government Increases to $8.9 Billion. Photo: CCN
As reported by Coin68, the U.S. government is believed to currently hold over 207,000 Bitcoins (BTC). This cryptocurrency was seized in operations targeting criminal activities involving cryptocurrencies, including Silk Road hacker Jimmy Zhong and the duo behind the Bitfinex exchange hack.
Following Bitcoin's growth trajectory in Q4/2023, the value of this BTC stash has increased from $5.5 billion earlier in the year to $8.9 billion at the time of writing, marking a 61% rise. This constitutes the largest amount of Bitcoin held by any nation.
The most recent instance of the U.S. government selling seized Bitcoin was in March 2023, yielding over $261 million from the liquidation of 9,800 BTC. At that time, the U.S. announced potential further sales throughout 2023, though these did not materialize, leading to speculation that liquidation activities may resume in 2024 given Bitcoin's significant price increase.
History of U.S. Bitcoin Seizures and Sales. Source: Jameson Lopp
According to data compiled by researcher Jameson Lopp, the U.S. government has sold 195,091 BTC seized from criminals to date, amounting to $366 million.
Besides the U.S., other countries holding Bitcoin include El Salvador, Ukraine, Bhutan, Venezuela, and Finland, sourced from various origins, with an estimated value of about 4,000 BTC ($172 million).
China is also reported to have seized up to 195,000 BTC ($8.4 billion) from the PlusToken scam in 2020, along with various other cryptocurrencies like Ethereum (ETH), although the disposition of these crypto assets remains unclear.
Bitcoin's recovery has also enabled MicroStrategy's Bitcoin investment portfolio to achieve profits in the billions. The company and its founder, Michael Saylor, maintain their strategy of accumulating more BTC, with no signs of halting, as announced alongside plans for additional equity sales to raise funds.
In 2024, the crypto community may witness bankruptcies like FTX, Celsius, Three Arrows Capital,...selling off asset portfolios to compensate customers. Another notable entity, Mt. Gox, has begun distributing assets to investors after a decade of legal proceedings. Mt. Gox holds 142,000 BTC ($6.1 billion), 143,000 BCH ($33.7 million), and ¥67 billion Japanese yen.
