US Government: New Player in the Bitcoin Market
Date: 2024-05-16 Author: Oliver Abernathy Categories: BUSINESS
Penetration into the World of Cryptocurrencies
According to the latest data, the US government owns a minor, but still significant, 1% of all bitcoins in circulation. This makes him one of the largest cryptocurrency holders in the world. This significant presence was the result of Bitcoin seizures resulting from various legal cases, including the Silk Road case and the Bitfinex hack.
From Withdrawals to Long-Term Investments
Most of the bitcoins owned by the US government have been confiscated as a result of various legal cases. It is noteworthy that this asset has become a long-term investment, as its slow movement between wallets indicates an intention to hold it for the long term. Experts believe this could be part of the government's strategy in preparation for sales or possible future seizures.
Silk Road and Bitfinex: Fateful Events
Silk Road, known as an online shady trading market, has become a platform for many illegal transactions using Bitcoin. The closure of the site by US law enforcement in 2013 and the subsequent confiscation of bitcoins from its founder Ross Ulbricht contributed significantly to the government's portfolio.
The Bitfinex exchange theft in 2016 was another event that resulted in the confiscation of a large amount of Bitcoin. The hacking of the platform's security and the subsequent theft of about 120 thousand bitcoins became one of the largest incidents in the history of cryptocurrencies.
The significant presence of the US government in the Bitcoin market is not only an interesting development, but also evidence of the acceptance of cryptocurrency as a long-term asset. It also highlights the importance of security and control issues that remain relevant in the world of digital currencies.
