US Senator Cynthia Lummis on Tuesday pushed again after stories that the US Division of Justice moved and sure bought seized Bitcoin that some lawmakers anticipated to be held as a nationwide asset.
Based on on-chain monitoring and a number of information shops, about 57.55 BTC, roughly $6.3 million, was despatched to a Coinbase Prime account and the receiving pockets later confirmed a zero steadiness, an indication the cash had been in all probability liquidated.
Senator Lummis Raises Alarm
Based mostly on stories, Senator Cynthia Lummis stated she was “deeply involved” that the switch ran counter to a presidential directive issued earlier.
The directive, Govt Order 14233 signed in March 2025, units out a plan to create a US Strategic Bitcoin Reserve and requires seized Bitcoin to be held reasonably than bought.
Lummis, who chairs a Senate subcommittee on digital property, questioned why seized cash had been moved to an change custody account as an alternative of being positioned in reserve.
Why is the U.S. gov nonetheless liquidating bitcoin when @POTUS explicitly directed these property be preserved for our Strategic Bitcoin Reserve? We are able to’t afford to squander these strategic property whereas different nations are accumulating bitcoin. I’m deeply involved about this report. https://t.co/XW5WxsfliA
— Senator Cynthia Lummis (@SenLummis) January 6, 2026
On-Chain Strikes Level To Sale
Blockchain analysts flagged the motion after addresses tied to the seizure had been traced to Coinbase Prime. Experiences present the Coinbase deal with ended with a zero steadiness shortly after the switch, which many observers learn as an on-chain sign that the property had been bought.
Based mostly on stories, the switch concerned digital property seized from defendants linked to a latest prison case, and the US Marshals Service executed the order from the Justice Division to maneuver the cash.
Market Response And Numbers
The market confirmed a small response across the time of the reported sale. Bitcoin’s value dipped barely from about $94,760 to close $93,600 at one level, in keeping with value snapshots cited by information websites.
The stated variety of BTC is a small fraction of complete circulating provide, however the commerce drew consideration due to the coverage questions it raised and the political backdrop of a nationwide reserve plan.
Questions About Coverage And The Reserve
Lawmakers and crypto coverage watchers now need clearer solutions about when and the way seized crypto is transformed to money. Experiences have referred to as for the Justice Division to elucidate its decision-making and to make clear whether or not present administration steerage requires holding seized Bitcoin for the Strategic Reserve.
Senator Lummis has pushed for formal guidelines and doable laws that may forestall comparable gross sales sooner or later.
Thus far, public statements from the Justice Division and the US Marshals Service have been restricted within the public document, whereas Lummis and different proponents of the reserve have pressed for transparency.
Based mostly on stories, some authorized specialists argue the federal government has discretion over forfeited property, whereas others say the brand new government directive ought to reshape that observe.
Featured picture from Pexels, chart from TradingView
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