US DOJ Bitcoin Sales Spark Concern From US Senator

US Senator Cynthia Lummis on Tuesday pushed again after reviews that the US Department of Justice moved and certain offered seized Bitcoin that some lawmakers anticipated to be held as a nationwide asset.

According to 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 stability, an indication the cash have been most likely liquidated.

Senator Lummis Raises Alarm

Based on reviews, Senator Cynthia Lummis stated she was “deeply involved” that the switch ran counter to a presidential directive issued earlier.

The directive, Executive Order 14233 signed in March 2025, units out a plan to create a US Strategic Bitcoin Reserve and requires seized Bitcoin to be held quite than offered.

Lummis, who chairs a Senate subcommittee on digital belongings, questioned why seized cash have been moved to an alternate custody account as a substitute of being positioned in reserve.

On-Chain Moves Point To Sale

Blockchain analysts flagged the motion after addresses tied to the seizure have been traced to Coinbase Prime. Reports present the Coinbase deal with ended with a zero stability shortly after the switch, which many observers learn as an on-chain sign that the belongings have been offered.

Based on reviews, the switch concerned digital belongings seized from defendants linked to a current prison case, and the US Marshals Service executed the order from the Justice Department to maneuver the cash.

Market Reaction 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, based on 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 Policy And The Reserve

Lawmakers and crypto coverage watchers now need clearer solutions about when and the way seized crypto is transformed to money. Reports have referred to as for the Justice Department to elucidate its decision-making and to make clear whether or not present administration steering requires holding seized Bitcoin for the Strategic Reserve.

Senator Lummis has pushed for formal guidelines and potential laws that may forestall related gross sales sooner or later.

So far, public statements from the Justice Department 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 on reviews, 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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