U.S. Government Deposits $297M of Bitcoin Into 10 Wallets

• The United States government transferred 9,825 Bitcoins, worth $297.6 million.
• The government sent 1,625 BTC to two newly created Bitcoin wallets.
• Eight inactive whale wallets received the remaining 8,200 Bitcoins.

Lookonchain, the smartmoney and onchain analytics platform, tweeted that the United States government transferred 9,825 bitcoins, worth $297.6 million. Out of the total bitcoins transferred, it sent 1,625 BTC, equivalent to $49 million, to two newly created bitcoin wallets.

The government sent the remaining 8,200 bitcoins in 101 transactions to eight whale wallets that had been inactive for two years, according to Lookonchain.

In a report on the transactions, Lookonchain referenced a similar case in March, when the U.S. government transferred a significant amount of bitcoins across the bitcoin network. In those transfers, the government sent out 49,000 BTC, equivalent to $1.08 billion. They originally seized the transferred bitcoins from a Silk Road hacker five years ago.

The government executed the March transfers in two batches, with the first batch involving 9,826 BTC, equivalent to $217 million at the time of the transaction. Lookonchain reported that the U.S. government sent that batch of the transaction to Coinbase. The government transferred the remaining 39,175 bitcoins, equivalent to $867 million, to two newly created bitcoin wallets.

This action by the U.S. government has garnered reactions among users in the crypto community. Some community members responding to Lookonchain’s tweet wondered if the government intends to sell those bitcoins and how it could impact the price of the pioneer cryptocurrency.

Another one of the respondents, Guilherme Lage, suggested that the government sell the BTC. According to him, a government selloff would reduce bitcoin prices, allowing buyers to purchase at a lower cost and resume the upward trend.

Bitcoin sold for $30,360 at the time of writing. It has remained in a sideways trend for the past three weeks, with an upper and lower limit of $31,500, and $29,508, respectively.