Crypto Czar David Sacks Says US Government Lost $17B By Failing to Have Long-Term Bitcoin Strategy

White House Crypto Czar David Sacks has noted that the United States forfeited over $17 billion due to a short-sighted view on Bitcoin.

Sacks shared this sentiment on X today, emphasizing the significance of the ongoing discussion regarding the establishment of a national crypto reserve in the U.S.

Specifically, he pointed out that the U.S. had liquidated over 195,000 BTC tokens in the last ten years for proceeds totaling only $366 million.

Over this ten-year period, the price of Bitcoin continued to soar, rising from a few hundred dollars to the six-figure range. In hindsight, Sacks noted that if the government had held on to the Bitcoin tokens, it could be sitting on a stash worth $17 billion today.

“That’s how much it has cost American taxpayers not to have a long-term strategy,” Sacks remarked.

Over the past decade, the federal government sold approximately 195,000 bitcoin for proceeds of $366 million. If the government had held the bitcoin, it would be worth over $17 billion today. That’s how much it has cost American taxpayers not to have a long-term strategy.

— David Sacks (@davidsacks47) March 6, 2025

US Government Bitcoin Sales

Notably, the BTC tokens the government has liquidated over the last decade were crypto assets seized by law enforcement. This included Bitcoin from the infamous dark web portal, Silk Road.

The source Sacks cited shows that the U.S. government’s earliest sale occurred in June 2014 when it liquidated 29,657 BTC at $632 per coin. Meanwhile, as of today, 11 years later, these coins would be worth over $2.7 billion.

The U.S. government’s largest Bitcoin sales on record includes 50,000 BTC tokens sold in December 2014 and March 2015. Both were exchanged for just $32.5 million. Today, those same tokens would be worth around $9.1 billion.

According to the report, the government’s most recent sale occurred in March 2023, exchanging 9,861 BTC for $215 million, or $21,800 per token.

Despite these massive sales over the years, the U.S. government still holds 198,109 BTC tokens worth over $17.72 billion. It also holds Ethereum tokens worth $124 million. Other assets include USDT, BNB, USDC, DAI, and TRX, all valued in the multi-millions of dollars.

Collectively, its portfolio is worth $18.12 billion, according to Arkham data. However, the value could have been much higher if the government had avoided periodic sales.

Road to Bitcoin Reserve

Given the financial loss and the potential benefits of retaining a Bitcoin portfolio, the U.S. is now pursuing efforts to establish a reserve. 

Ongoing efforts include the presidential committee advising the president on the benefits of a national crypto reserve. This committee is headed by Sacks. Additionally, the White House is hosting an inaugural crypto summit tomorrow. One of the main agenda items is the proposed crypto reserve.

Some considerations include consolidating the crypto assets the government already holds into a national reserve. Others involve leveraging some of its gold reserves to make fresh acquisitions. However, the matter remains under deliberation, and no final decisions have been made.