Gairika Mitra
The United States government has transferred more than $2 billion worth of Bitcoin from wallets associated with the Silk Road dark web marketplace, according to Arkham Intelligence, a blockchain analysis platform focused on deanonymizing blockchain transactions. The Bitcoin was transferred to an unidentified wallet, leaving the audience speculating about the government’s next move.
Currently, it’s not clear whether or not the U.S. plans to sell off the recently transferred Bitcoin. This transfer happened within two days of Republican presidential candidate Donald Trump’s speech at the Bitcoin Conference in Nashville where he promised to create a national “strategic Bitcoin stockpile” if he came to power.
Bitcoin Movements and Trump’s Speech
Bitcoin has surged by 2.6%, its highest since the middle of June, after Trump’s address. Besides this, Ether, Solana, and Dogecoin also traded at higher prices within the same period. However, just within an hour of the former president’s speech, Bitcoin dropped by more than 2%. As of 7.34 a.m. EST on Tuesday, Bitcoin’s price stands at $66,599.02. It has been plunging 4.58% within a day’s time as per CoinMarketCap data.
On Monday, Bitcoin’s price fell to $66,000, again down by 4.6% in the last 24 hours.
Market Reactions
There have been mixed reactions from the market about the $2 billion transfer. Mike Novogratz (@novogratz), a Bitcoin investor and CEO of Galaxy Digital, expressed his displeasure about the move, calling it “tone deaf.”
Related: Strategy Sells $1.4B in Stock to Cover Bills Amid Bitcoin Slump
One of his top comments says, “They (the Democrats) hate us, they want to destroy crypto. Absolutely nothing has changed. You’re being naive to think there’s any difference between Joe and Kamala. They are the same puppet admin.”
Romain Nouzareth, CEO and founder of SATO Technologies, also expressed his displeasure in a comment under Bitcoin Magazine’s post on X.
“Tell me you lost the election before the election takes place!” he wrote.
Related: The History of Altcoins: How Bitcoin’s Rivals Changed the Crypto Game
Previously Seized Bitcoin: US Government Sold 10,000 BTC for $215 Million
The U.S. government had previously moved and sold Bitcoin, which was seized for illegal activities. In march last year, the government transferred a huge amount of Bitcoin to Coinbase.
In June 2023, they had sold around 10,000 BTC and raised around $215 million. Silk Road, a darknet marketplace for illegal goods, shut down operations in 2013, which led to a huge amount of Bitcoin being seized by various government entities.
Read More
- Pro-crypto Trump: Highlights from His Bitcoin Conference Speech and Policy Implications
- Bitcoin Soars to Six-Week High Following Trump’s Pro-Crypto Speech
- Trump Crypto Strategy Pays Off with Over $4 Million in Cryptocurrency Donations
GAIRIKA
Gairika is a cryptocurrency journalist with a focus on Bitcoin and blockchain technology.
