US Marshals Confirm Near 29K BTC Held by Government in New FOIA Disclosure

The United States Marshals Service (USMS) has released a response to a Freedom of Information Act (FOIA) request, revealing that the government holds approximately 28,988 Bitcoin worth around $3.3 billion. This significant disclosure comes as a surprise to many, particularly those who had previously estimated the government's stash at over 200,000 BTC, valued at over $23 billion.

Independent journalist L0la L333tz submitted the FOIA request on March 24, which prompted the USMS to confirm the existence of this substantial Bitcoin reserve. The agency manages forfeited digital assets and has confirmed that it holds just under 29,000 BTC, representing an astonishing 86% decrease from previous public estimates.

The discrepancy between the reported value of $3.3 billion and the actual amount held by the government raises intriguing questions about what Bitcoin the US actually controls. It is worth noting that assets tracked by tools like Arkham's government wallet tracker often include seized BTC, such as coins from the Bitfinex hack, which may still be under litigation and not yet forfeited.

The USMS list appears to include only assets officially forfeited to the government, excluding BTC still held by agencies like the FBI or DEA. Since the USMS conducts public auctions for liquidations, the list is presumed current and accurate. However, a follow-up FOIA request has been submitted to verify whether Coinbase Prime is custodian of the holdings, adding an air of uncertainty to this already puzzling situation.

The revelation highlights the complexities surrounding digital asset management and the evolving nature of cryptocurrency regulation in the United States. As governments continue to navigate the challenges of regulating Bitcoin and other cryptocurrencies, it will be interesting to see how this news unfolds and what implications it may have for the broader industry.