In a latest development, Senator Cynthia Lummis, a strong crypto advocate, is investigating the U.S. Marshals’ plans to sell a large stash of seized Bitcoin (BTC). According to a report from Politico, the probe, initiated on January 15, is aimed at halting the rushed decision to sell Bitcoin during a critical time, specifically during the Presidential transition.
Notably, she has requested additional information related to the U.S. Marshals Service planned disposition of approximately 69,370 Bitcoin seized from the Silk Road case. “This matter requires immediate attention given recent court developments and the significant value of these holdings, currently estimated at over $6 billion at current market prices,” she noted.
Senator Lummis Cites Several Reasons
Notably, the Politico report noted that in her letter to the U.S. Marshals, Lummis raised several concerns about the sale, including its timing during the transition to President-elect Donald Trump’s administration. She argued that selling Bitcoin contradicts the incoming administration’s intention to create a strategic Bitcoin Reserve.Â
She also highlighted in her letter that the “U.S. Marshals Service’s track record in handling seized Bitcoin reveals a concerning pattern of losses for American taxpayers.”
“This rushed approach, occurring during the presidential transition period, directly contradicts the incoming administration’s stated policy objectives regarding the establishment of a National Bitcoin Stockpile,” Lummis noted.
Senator Lummis emphasized that these Bitcoin holdings offer an opportunity to diversify America’s assets and build a financial foundation for future generations. The decision to keep or sell these assets could significantly impact the nation’s financial sovereignty and strategic position for years to come.
Besides, Lummis also highlighted the potential financial loss for U.S. taxpayers, noting that past sales of seized Bitcoin have cost the government up to $18.5 billion in unrealized value.
Long-Term Interests Being Considered?
Senator Lummis is concerned about the rush to sell 69,370 Bitcoin, especially since the Department of Justice is using Bitcoin’s price volatility as a reason for an expedited sale. Despite ongoing legal challenges, the Department is pushing forward with the sale. Lummis believes this hurried approach, happening during the presidential transition, goes against the incoming administration’s plan to create a National Bitcoin Stockpile and questions whether the long-term interests of the U.S. are being properly considered.
