Bitcoin has grown in importance to governments and financial institutions around the world in recent years. Due to its decentralized nature and growing popularity, many countries have begun to pay attention and learn ways to manage and control this digital currency. In the United States, the government has a very unique approach to Bitcoin, not only regulating it, but confiscating and holding it.
what is the current amount #bitcoin Owned by the US government? https://t.co/kMhIpf5eBN
— Kyptos (@azcoinnews) March 27, 2023
According to recent statistics compiled by Dune Analytics, the U.S. government currently holds 205,515 bitcoins, worth about $5.7 billion at current value, or 1.06% of BTC’s circulating supply. This is a staggering number, which makes people wonder how the US government got so much bitcoin.
Citing data from Dune Analytics, Blocktempo reported that since 2020, the U.S. government has confiscated more than 215,000 bitcoins in at least three separate incidents. The largest of these was the November 2020 seizure of 69,369 BTC from the notorious Silk Road marketplace. This was followed by the seizure of 94,643 BTC from Bitfinex hackers in January 2022, and most recently, the seizure of 51,326 BTC from James Zhong in March 2022.
Source: Dune Analysis.
The amount of BTC held by the US government is definitely larger than that of other Bitcoin whales. Currently, the U.S. government is second only to Satoshi Nakamoto, with 1.1 million bitcoins and approximately 248,597 cold wallets listed on the Binance Exchange.
This is much larger than MicroStrategy, which holds the largest amount of Bitcoin of any other U.S.-listed company, at approximately 138,955 BTC. Obviously, the U.S. government has become a VIP member of the Bitcoin market intentionally or unintentionally.
The U.S. government’s stance on Bitcoin has changed in recent years. While they have taken steps to regulate monetary policy and crack down on illicit activity, they also recognize the potential of bitcoin and other cryptocurrencies. In fact, the Federal Reserve has been exploring the potential of a central bank digital currency (CBDC) for some time, and many experts believe the U.S. may eventually issue its own.
Regardless of the U.S. government’s stance on Bitcoin, it’s clear that they have become a significant player in the Bitcoin market. With 205,000 BTC worth billions of dollars, the U.S. government cannot be underestimated in the Bitcoin “race.” As the cryptocurrency market continues to grow and mature, the evolution of the U.S. government in the cryptocurrency market is highly anticipated.
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according to Kyptos