The United States Marshals Service has firmly denied selling 57.5 Bitcoin worth approximately $6.3 million, directly contradicting recent media reports that suggested the government had liquidated the cryptocurrency despite President Trump’s directive to preserve such assets for a Strategic Bitcoin Reserve.
The controversy erupted after blockchain analysts and crypto media outlets flagged suspicious on-chain movements showing the Bitcoin being transferred to Coinbase Prime, a platform commonly used for institutional trading and liquidation activities. With Bitcoin currently trading at $89,915, the disputed transaction represented a significant sum that caught the attention of both crypto enthusiasts and political figures.
Political Backlash Over Alleged Sale
Wyoming Senator Cynthia Lummis, one of Bitcoin’s most prominent advocates in Washington, quickly seized upon the reports to question the government’s commitment to building a Strategic Bitcoin Reserve. In a pointed social media post, she expressed deep concern about the purported sale, arguing that the United States cannot afford to squander strategic digital assets while other nations are actively accumulating Bitcoin.
The senator’s criticism highlighted the tension between existing government procedures for handling seized cryptocurrency and the new policy direction under Executive Order 14233, which mandates that Bitcoin obtained through criminal or civil forfeiture be preserved rather than sold.
Marshals Service Pushes Back
Following intense scrutiny, the US Marshals Service issued a categorical denial, stating they had not sold the Bitcoin in question and expressing frustration with the media coverage. Officials criticized the reporting process, noting that outlets had failed to fact-check or contact the agency before publishing their claims.
The Marshals Service emphasized that their cryptocurrency liquidation procedures involve a multi-level approval process specifically designed to ensure compliance with Section D of Executive Order 14233. This process is intended to prevent the disposal of digital assets that should be retained for the Strategic Bitcoin Reserve.
Samourai Wallet Connection
The confusion originated from court documents related to the Samourai Wallet case, which involved the arrest of developers Keonne Rodriguez and William Lonergan Hill in 2024. Federal authorities alleged that the privacy-focused mixing service operated as an unlicensed money transmitting business that facilitated criminal activities.
An “Asset Liquidation Agreement” document referenced the specific amount of $6,367,139.69 tied to the 57.5 Bitcoin that were transferred on November 3, 2025. However, the Bitcoin in question reportedly came from payments made by the developers to the Department of Justice as part of their guilty plea arrangements, rather than from traditional asset forfeiture.
On-Chain Evidence Creates Confusion
Blockchain tracking data showed the 57.5 Bitcoin being deposited to Coinbase Prime, a pattern that many traders interpret as a precursor to liquidation. However, such movements, while suggestive, cannot definitively prove that a sale has occurred, as institutions may move funds for various operational reasons including custody arrangements or portfolio management.
The incident underscores the challenges facing government agencies as they navigate new policies regarding cryptocurrency holdings while maintaining transparency in their operations. As Bitcoin’s value continues to fluctuate around the $89,915 level, the stakes for proper asset management have never been higher.
Current Market Context
The controversy comes at a time when Bitcoin’s institutional adoption continues to grow, with the cryptocurrency maintaining significant value despite market volatility. The disputed 57.5 Bitcoin, valued at over $5 million at current prices, represents just a fraction of the government’s total cryptocurrency holdings seized through various enforcement actions.