US Government Moves Confiscated BTC Worth $922 Million
Date: 2024-03-02 Author: Dima Zakharov Categories: IN WORLD
Government BTC Transfers Amidst Bitcoin Surge
The US government recently initiated the transfer of bitcoins amounting to $922 million from wallets linked to the 2016 Bitfinex confiscation. These transfers occurred on February 28, coinciding with Bitcoin's surge to over $60,000, its highest in over two years. Bitcoin experienced a 5.52% surge within 24 hours, reaching $62,507.
Sequential Transfers Unveil Significant Holdings
The first test transfer involved a single bitcoin valued at $60,200, followed by subsequent transfers, including one for 2,817 bitcoins worth $172.74 million. According to Arkham Intelligence, these transfers collectively revealed the US government's possession of a significant bitcoin reserve.
Origin of Confiscated Funds
The government seized these funds in 2016 after Bitfinex suffered a hack, losing approximately 119,754 bitcoins valued at over $7.4 billion at current prices.
Legal Proceedings and Revelations
These transfers followed legal proceedings involving Ilya Lichtenstein, a hacker involved in laundering over $4.5 billion in bitcoins from Bitfinex. Lichtenstein recently appeared in a Washington court, detailing his involvement in one of the world's largest bitcoin thefts. He disclosed breaching not only Bitfinex but also accounts on other exchanges like Coinbase and Kraken.
Criminal Confession and Film Adaptation
Lichtenstein and his wife, Heather Morgan, admitted guilt in money laundering charges related to the Bitfinex hack in August 2023. Reports suggest Amazon is producing a film inspired by their story, titled "Bitcoin Bonnie and Clyde," based on a 2022 New York Times article.
