U.S. government to sell $1B+ worth of bitcoin: what you need to know

The Department of Justice (DOJ) has recently announced that it sold 9,861 Bitcoin for $215M and is planning to sell another ~41,500 BTC in four more batches over the course of this year. Here’s what you need to know about this event:

  • The Bitcoin being sold by the U.S. government was seized from Silk Road, an online black marketplace where people could buy illegal stuff using crypto.
  • Over 50,000 BTC was seized after the Silk Road shutdown and is now being sold by the government.
  • Some people are concerned that 50,000 BTC hitting the market could add sell-pressure and bring the price of Bitcoin down. However, others believe that it’s hardly a drop in the ocean where crypto whales eat that much Bitcoin for breakfast, and thus, they aren’t too worried about it.
  • It’s worth noting that just last week, the U.S. government sold $200M+ on Coinbase, and this week, the same government has sent Coinbase a Wells Notice for breaking the law, claiming that “crypto has no value.”
  • Although it’s a bit comical, the selling of Bitcoin by the U.S. government shouldn’t have any significant impact on the overall market. However, it’s interesting to see how the government views the crypto space, especially when it comes to regulation and enforcement.

Leave a Reply

Your email address will not be published. Required fields are marked *