The controversy has been whether the U.S. government is breaking its own rule by selling Bitcoin that was supposed to be kept as part of the national Bitcoin reserve. They already passed Executive Order 14233 that if the government seized the Bitcoin, then it should not be sold.
In November 2025, The Developer of the Samourai Wallet was involved in a legal case, and as part of the Plea Deal with the U.S. Department of justice they agreed to surrender about 57.55 BTC worth $6.3 million. This seized Bitcoin was handled by the U.S. Marshals Service, which manages all the seized assets. Instead of holding the Bitcoin, the Blockchain data shows that the BTC was transferred to Coinbase Prime, which was a private exchange platform. Now the Wallet shows the Zero Balance. This clearly shows that Bitcoin has been sold.
What the Strategic Bitcoin Reserve Is and Why This Sale Raises Questions
As per the Executive Order of 14233 Any Bitcoin that was seized must be kept in the Strategic Bitcoin Reserves. The Order clearly states that the Government BTC shall not be sold. The Thai Order is passed to keep Bitcoin like the Gold Reserve, not for selling out quickly. The U.S. government has approximately 325,000 BTC in its Reserve, which is primarily accumulated from law enforcement seizures. As per the order, if the Bitcoin were sold, then it would violate this executive order.
Cynthia Lummis, a U.S. Senator and a strong Bitcoin supporter, has publicly criticized the situation. She said that the government should not sell Bitcoin when the President ordered agencies to preserve it. She also warns that the other countries are preserving Bitcoin, but the U.S. could be weakening its strategic positions.
This situation raised Serious Concerns that whether the Federal Agencies are ignoring the white house directives or the U.S. Crypto policies are inconsistent. These types of actions could decrease the trust in the U.S. Crypto Strategy and would put the U.S. behind other Countries in Digital Asset Competition. The lawmakers and the crypto community are closely watching until there is a clear explanation from the U.S. government.
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