Can Ahmet 
The United States has received approval to complete history’s largest cryptocurrency seizure operation and sell the confiscated Bitcoin. Here are the details:
Court Approval for 69,370 Bitcoin
The U.S. District Court for the Northern District of California issued a ruling on December 30 authorizing the Department of Justice to liquidate 69,370 Bitcoin. Chief Judge Richard Seeborg rejected opposing motions to prevent the sale.
These Silk Road-linked Bitcoin holdings are valued at approximately $6.5 billion. The Department of Justice, which had previously begun selling in smaller tranches, transferred about $2 billion worth of Bitcoin to Coinbase on December 3, 2024. The Department maintains a custody arrangement through the U.S. Marshals Service via Coinbase Prime.
Origin of Silk Road Bitcoin and Background
The seized Bitcoin originated from illegal transactions on Silk Road, a dark web marketplace shut down in 2013. These assets were surrendered to authorities in 2020 by a mysterious figure known as “Individual X.” The Department of Justice faced numerous lawsuits and objections during a four-year legal battle. However, the court rejected all challenges and approved the sale of the Bitcoin.
Should There Be Cause for Panic?
While the sale of Silk Road Bitcoin has the potential to create market fluctuations, experts indicate this won’t be catastrophic for the market. Ki Young Ju, CEO of blockchain analysis platform CryptoQuant, stated that the market saw approximately $1 billion in daily inflows last year and could absorb the government’s $6.5 billion sale within a week. Additionally, some crypto commentators suggest these sales may have already occurred.
The liquidation of Silk Road Bitcoin represents both a historic financial resource for the U.S. government and a significant milestone for the cryptocurrency market. This process appears likely to remain a topic of both legal and political discussion for some time. However, experts consensually advise against market panic.
You can present your own thoughts as comments about the topic. Moreover, you can follow us on Telegram and YouTube channels for this kind of news.