Bitcoins seized by the US government from the anonymous illegal trading platform Silk Road are on the move again. Approximately 4,000 BTC were transferred to Coinbase Prime from the government-owned wallet.
Bitcoins confiscated by the US government from the illegal anonymous trading platform Silk Road are on the move again. Approximately 4,000 BTC were transferred to Coinbase Prime from the government-owned wallet.
The US government currently owns 213,546 bitcoins, which is worth roughly $13 billion. While this is a small portion of its total holdings, this latest transfer is nonetheless significant.
The move to Coinbase Prime, an exchange platform frequently used by institutional investors, raises the possibility that there are plans to sell some of these assets. Silk Road, known primarily for its illicit drug sales, was the first contemporary darknet market and online black market.
In February 2011, Ross Ulbricht introduced him under the alias Dread Pirate. In October 2013, the FBI shut down the website and Ulbricht was arrested and sentenced to life in prison.
Gamza KhanzadaevOther governments have also been selling their Bitcoin holdings in recent months. For example, the German government has been selling a significant portion of its Bitcoin holdings worth $2 billion. Governments are selling cryptocurrencies they have confiscated, possibly to reduce market volatility or capitalize on current values.
Yuri MolchanThis sale is in line with a broader trend in this regard. Such a substantial movement of Bitcoin could have a major impact on the market. Large transfers can occasionally trigger increased volatility, particularly when connected to government wallets.
Unfortunately, huge selling is occurring amid a period of high market volatility, where Bitcoin is struggling to stay above $60,000. However, the public does not know the precise reasons for this transfer. Typically, the money raised from these sales goes to fund different government initiatives or is returned to people who were harmed in crimes related to the seized assets.
