Bitcoin News: US Government Could Soon Sell 69,000 BTC, Here’s Why
There have been several bullish Bitcoin news these past few days. However, a recent Supreme Court ruling could dampen the mood as the US government has gotten the clear to proceed with selling 69,370 BTC associated with the Silk Road marketplace. This is significant as a sale of such magnitude could put massive selling pressure on the flagship crypto.
Bitcoin News: US Government Could Sell 69,000 BTC
The US government could soon sell over 69,000 BTC following the Supreme Court’s denial of a certiorari petition in the Battle Born Investments case against the United States. This Bitcoin news could negatively impact the Bitcoin price. Such a sale will put significant selling pressure on the flagship crypto.
This case involved the ownership of 69,370 bitcoins ($4.4 billion) linked to the Silk Road Marketplace. The government had initially seized these coins from ‘Individual X’ as part of the forfeitures from the dark web marketplace.
The Northern District of California also ordered these coins forfeited in 2022. However, Battle Born Investments appealed to the Supreme Court to claim ownership of these coins, which was why the sale of these coins has been put on hold until now.
The firm, which purchased bankruptcy claims following Silk Road’s collapse, argued that they owned the bitcoin that ‘Individual X’ stole from the dark web marketplace. However, the Supreme Court has chosen not to hear Battle Born’s appeal despite their claims to be the innocent owner of Silk Road’s property, including the 69,370 BTC stolen by individual X.
Supreme Court Order Gives The Government The Go-Ahead
The US Supreme Court’s denial of the petition for certiorari means that the Northern District of California’s forfeiture order remains the law. As such, this gives the government the go-ahead to sell these coins.
While such Bitcoin news provides a bearish outlook for the flagship crypto, it is worth mentioning that there are still formalities that the US Marshals or any other agency looking to liquidate these coins must follow.
Meanwhile, instead of selling these bitcoins, Democratic Representative Ro Khanna said the US government should keep seized bitcoins as a strategic reserve asset. Republican presidential candidate Donald Trump has also promised to create a Bitcoin strategic reserve if elected President. Considering how much BTC the US holds from seizures, Trump could adopt Khanna’s advice.
Bitcoin Treasuries data shows that the US is the largest Bitcoin holder among world governments, with 203,239 BTC. Interestingly, the majority of these coins are from the Silk Road marketplace.
A potential Bitcoin news around the US government selling any of these coins will bring back memories of the German government’s sale of almost 50,ooo BTC between June and July earlier this year. This move led to the Bitcoin price dropping below $55,000 at the time.
The post Bitcoin News: US Government Could Soon Sell 69,000 BTC, Here’s Why appeared first on CoinGape.
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