US government moves $1B in seized Bitcoin after $770M transfers
Reported by Cointelegraph · AI-assisted summary by ChikoCorp AI News Desk
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Summary
The US government transferred over 12,267 Bitcoin, worth more than $1 billion, from a wallet linked to seized cryptocurrency. This transaction occurred shortly after another $770 million transfer to a Coinbase Prime wallet. Arkham Research identified these Bitcoins as funds recovered from the 2016 Bitfinex hack. The recipient of the transfers remains unknown, and the US Marshals and Department of Justice did not respond to requests for comment.
Why it matters
The source implies the significance lies in the scale of seized cryptocurrency being moved by the US government, particularly Bitcoin recovered from a major hack. No explicit explanation is given about the broader market or policy impact.
Key context
The Bitcoin transferred is connected to the 2016 Bitfinex hack where 119,756 BTC were stolen. The US reportedly holds 328,372 BTC from seized criminal assets as of 2026. Additionally, President Donald Trump signed an executive order in March 2025 to establish a strategic Bitcoin and crypto reserve, but corresponding legislation is still pending.
Key numbers and entities
The US government moved over 12,267 BTC worth $1 billion, following a $770 million BTC transfer. The original Bitfinex hack involved 119,756 BTC stolen. The US holds an estimated 328,372 BTC seized through criminal investigations as of 2026. Coinbase Prime is the recipient wallet platform involved. Arkham Research linked the transfers to the Bitfinex hack.
What remains unclear
The identity of the recipient address for the Bitcoin transfers is unknown. There is no official statement from the US government about the purpose or future handling of the moved Bitcoins. The details on how the executive order to create a strategic crypto reserve will be implemented remain unspecified.