US Government Moves Bitcoin to Coinbase Prime

user avatar

by Giorgi Kostiuk

2 years ago

Recently, approximately $2 billion worth of Bitcoin, seized by the US government in connection with the Silk Road investigation, was transferred to the Coinbase Prime platform.

Transfer Details

Blockchain data from Arkham Intelligence revealed that a wallet labeled “US Government: Silk Road DOJ Seized Funds” moved 19,800 BTC to a new address before depositing the funds to Coinbase Prime. The wallet had no previous transaction history, leading to speculation that the government may be preparing to sell the assets.

Market Reaction

Historically, government-seized BTC sales have triggered significant market reactions. Earlier this year, similar sales led to sharp declines in Bitcoin prices. However, today the impact of the transfer was more subtle, with Bitcoin prices falling just over 1% to around $95,800 following the news.

History of the Silk Road Case

The BTC in question stems from a 2022 Department of Justice (DOJ) case in which over 50,000 BTC was seized, and a Silk Road user, James Zhong, was arrested. Zhong pleaded guilty to wire fraud after authorities accused him of abusing Silk Road’s transaction system in 2012. In November, a U.S. District Court in Northern California allowed the government to liquidate some or all of the Silk Road-related BTC while awaiting the resolution of a Freedom of Information Act (FOIA) lawsuit.

The transfer of Bitcoin to Coinbase Prime highlights the US government's ongoing management of seized crypto assets. Despite this transaction, the government still holds approximately $18 billion worth of confiscated cryptocurrencies.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Cardano's Stablecoin Market Surpasses 702 Million

As of October 18, Cardano's stablecoin market has reached a notable milestone, with the total supply of dollar-pegged tokens hitting approximately 702 million.

user avatarFilippo Romano

Aptos Reports Token Burn and Staking Emissions

Aptos has burned approximately 174,570 APT in the last 30 days while issuing around 15 million APT through staking.

user avatarEmily Carter

Cross River Bank Integrates Ripple's RLUSD Stablecoin for Enhanced Payment Solutions

Cross River Bank integrates Ripple's RLUSD stablecoin to enhance payment solutions for fintech customers.

user avatarTomas Novak

Stocklinked Tokens in DeFi Surge to $2.624 Billion

Stocklinked tokens in decentralized finance reached approximately $2.624 billion by the end of September 2026, marking an 18-fold increase from the beginning of the year.

user avatarKaterina Papadopoulou

Fidelity's Assessment Highlights Solana's Improved Reliability

Fidelity's assessment indicates Solana has operated for over two years without major outages, achieving a 99.7% vote success rate, but warns of concerns regarding validator concentration.

user avatarMaya Lundqvist

BitTorrent Unveils New Whitepaper and Brand Upgrade for Web3 and AI

In October 2023, BitTorrent unveiled a comprehensive brand upgrade and a new whitepaper outlining a tripartite architecture for decentralized content distribution and compute, aiming to enhance operational efficiency for Web3 and AI applications.

user avatarLeo van der Veen

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.