A White House crypto advisor said the US government has not sold any Bitcoin forfeited in the Samourai Wallet case, pushing back against market rumors sparked by recent on-chain activity.
Key Takeaways:
- The DOJ confirmed it has not sold any Bitcoin forfeited in the Samourai Wallet case.
- The clarification follows scrutiny over a 57.5 BTC transfer that sparked sale rumors.
- The forfeited Bitcoin will remain part of the US Strategic Bitcoin Reserve as accumulation plans continue.
Patrick Witt, executive director of the White House President’s Council of Advisors for Digital Assets, said he received direct confirmation from the US Department of Justice that the assets were neither liquidated nor earmarked for sale.
“We have received confirmation from DOJ that the digital assets forfeited by Samourai Wallet have not been liquidated and will not be liquidated,” Witt wrote on X on Friday, adding that the Bitcoin would remain part of the Strategic Bitcoin Reserve.
57.5 BTC Transfer Sparks Questions Over US Government Bitcoin Sales
Questions first surfaced in November after blockchain analysts flagged a transfer of 57.5 BTC from a government-controlled wallet to a Coinbase Prime deposit address.
The movement prompted speculation that US authorities may have sold or planned to sell the funds, drawing criticism from market participants who pointed to Executive Order 14233.
Signed by President Donald Trump in March, the order requires that any Bitcoin obtained through criminal or civil forfeiture “shall not be sold” and instead be retained for the Strategic Bitcoin Reserve.
Some observers accused the US Marshals Service of violating the directive, allegations now denied following the DOJ clarification.
Public data suggests the US government remains one of the world’s largest Bitcoin holders. Figures from Bitcoin Treasuries show federal authorities control 328,372 BTC, valued at more than $31 billion at current prices.
That total includes 127,271 BTC forfeited in October from a Cambodia-based entity accused of running a so-called pig-butchering investment scam.
Witt reiterated that expanding the Strategic Bitcoin Reserve remains a policy priority. In a recent interview, he said progress depends on coordination between the Treasury and Commerce departments to address outstanding legal and operational issues.
Legislative efforts are also underway. A bill sponsored by Cynthia Lummis proposes accelerating reserve accumulation, targeting the acquisition of up to 1 million Bitcoin over five years.
The proposal emphasizes budget-neutral methods, with officials saying any accumulation would avoid costs to taxpayers.
Trump Signals Possible Pardon for Samourai Wallet Developer
Two developers behind Samourai Wallet were sentenced to prison in November after prosecutors said the privacy-focused Bitcoin wallet processed more than $237 million in criminal proceeds.
Keonne Rodriguez received a five-year sentence on Nov. 6, while his co-developer, Hill, was sentenced to four years on Nov. 19. Both were also ordered to forfeit roughly $6.3 million in fees earned through the platform.
The case took a political turn in December when Donald Trump said he would consider pardoning Rodriguez.
Speaking to reporters during an Oval Office event on Dec. 16, Trump said he had “heard about it” and instructed Attorney General Pam Bondi to review the case.
Rodriguez later welcomed the remarks, arguing on social media that the prosecution reflected “lawfare” and a weaponized Justice Department under the Biden administration.
Trump has previously pardoned Ross Ulbricht and Changpeng Zhao in related crypto cases, and has raised optimism of a similar pardon for Rodriguez.
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