The US government has executed a significant transfer of seized Bitcoin, sending more than 12,267 BTC, valued at over $1 billion, to a Coinbase Prime wallet. This transaction follows an earlier movement of $770 million worth of Bitcoin to the same platform within hours.
Seized Bitcoin linked to Bitfinex hack
Blockchain analytics firm Arkham Research identified the wallet used in the recent transfer as being connected to assets recovered from the 2016 Bitfinex hack. In that high-profile incident, hackers stole a total of 119,756 BTC from the Hong Kong-based cryptocurrency exchange.
The current recipient address for the US government’s transfer remains unknown. Details about the end use or intended liquidation of these digital assets have not yet been disclosed, and public blockchain records offer limited further information.
Mini dictionary: Coinbase Prime, an institutional trading platform by Coinbase designed for large-volume cryptocurrency transactions and custody solutions for organizations, such as hedge funds and governments.
The movement of over 12,000 Bitcoin into Coinbase Prime comes just hours after a $770 million transfer, with the assets traced to funds seized from the Bitfinex hack.
Government holds significant Bitcoin reserves
According to estimates, the US government controlled approximately 328,372 BTC as of 2026. These holdings largely stem from assets confiscated in various criminal investigations and legal actions over several years.
In March 2025, US President Donald Trump signed an executive order establishing a strategic Bitcoin and crypto reserve for the country. However, Congress has not yet formalized this initiative in law, and legislative efforts are ongoing.
| Event | BTC Amount | Estimated USD Value | Date |
|---|---|---|---|
| Recent government transfer to Coinbase Prime | 12,267 BTC | $1 billion | June 2026 |
| Earlier same-day transfer | Approx. 9,467 BTC | $770 million | June 2026 |
| 2016 Bitfinex hack | 119,756 BTC | Varied (at 2026 prices, over $10 billion) | 2016 |
Cointelegraph sought comment on the latest transfers from both the US Marshals Service and the Department of Justice, which oversee the management of seized digital assets. As of publication, neither agency had responded regarding the purpose or timing of these transactions.
Many analysts are now watching how the US government will handle this large volume of Bitcoin in the months ahead, and whether further liquidations or strategic holdings will impact market sentiment.
