US government moves $297M in seized Bitcoin, Ether to Coinbase Prime

[Oshosondy]

I saw it on https://cointelegraph.com/news/us-government-moves-297m-in-seized-bitcoin-ether-to-coinbase-prime

https://arkm.com/explorer/entity/usg
Data from Arkham shows 3,940 Bitcoin (BTC) (worth $243.95 million) and 30,014 Ether (ETH) (worth $53.09 million) were sent to Coinbase Prime on Monday. The funds were linked to several high-profile US government crypto seizures.

This is very small than the total holding that was suggested to be 328000 BTC in the reserve.

What do you think about this? What if it is sold? I think having a reserve does not mean part of the money in the reserve can not be sold.

[Free Market Capitalist]

What do you think about this? What if it is sold? I think having a reserve does not mean part of the money in the reserve can not be sold.

It's probably nothing; they'll likely just leave them there in custody, and that's it. Although, coming from Trump, nothing would surprise me—after all, he also said at a Bitcoin conference, “You never sell your Bitcoin,” and then sold Bitcoin through his companies. But I think that at the federal level, he couldn't bypass his own Strategic Reserve order without first revoking it, or he could face legal problems.

[Dave1]

What do you think about this? What if it is sold? I think having a reserve does not mean part of the money in the reserve can not be sold.

I also don't think that the US government under Trump will sold any of their crypto because we all know that he wants US to be great and that includes crypto. Maybe they just moved it to Coinbase Prime for them to hold on it as there could be agreement with the administration and Coinbase to be their prime custodian.

I do hope though that it won't scare any investors and think that they are going to sell it sometime. Because it might cause the market to go nosedive again.

[retaur]

It's probably some sort of backup. If they were wanting to sell it they could probably pass a bill to issue treasury notes backed by the crypto so they keep holding the crypto while getting to take loans against it with none of the risk. Or similar to what the bank of England did with its gold reserves (but not the selling then back to countries they'd pillaged them from part).

I assume they also have to run tests to prove they maintain control over the funds.

[The Cryptovator]

Data from Arkham shows 3,940 Bitcoin (BTC) (worth $243.95 million) and 30,014 Ether (ETH) (worth $53.09 million) were sent to Coinbase Prime on Monday. The funds were linked to several high-profile US government crypto seizures.

This is very small than the total holding that was suggested to be 328000 BTC in the reserve.

What do you think about this? What if it is sold? I think having a reserve does not mean part of the money in the reserve can not be sold.

During sales, although the market reacts negatively, I consider them normal trading. "Reserve" doesn't mean it's freezing forever; even Saylor accumulates Bitcoin that's not forever. They have to sell when necessary; we shouldn't be disappointed or panic for these kinds of sales. On the other hand, we also don't need to be very happy when governments or big institutions purchase Bitcoin.

However, when someone moves their Bitcoin or other altcoins into Coinbase, we consider it probably going to sale. And then the market reacts accordingly; it's due to sales pressure and panic. This situation won't last longer since, on the other end, someone is buying those coins. We shouldn't be afraid about something that we can't control.

[Bitcoin-Forever]

I saw it on https://cointelegraph.com/news/us-government-moves-297m-in-seized-bitcoin-ether-to-coinbase-prime

https://arkm.com/explorer/entity/usg
Data from Arkham shows 3,940 Bitcoin (BTC) (worth $243.95 million) and 30,014 Ether (ETH) (worth $53.09 million) were sent to Coinbase Prime on Monday. The funds were linked to several high-profile US government crypto seizures.

This is very small than the total holding that was suggested to be 328000 BTC in the reserve.

What do you think about this? What if it is sold? I think having a reserve does not mean part of the money in the reserve can not be sold.

One thing I don't like about government seizure in this manner is that even after the recovery back from the hackers, this coins remains in government custody and they were never returning back to the right owner from the affected centralized platforms .

Also, if all these were sold, it does not even move an inch from other holdens with the government treasury, anything they can decided to do with this coins as long as they are not the real owners, while not every move to sell in large quantity like this always cause the market to react.