US Government Moves Seized Bitcoin from Silk Road Hacker

US Government Transfers Seized Bitcoin

The US government recently moved over $297 million worth of bitcoin, originally seized from the Silk Road hacker. This transfer involved 9,825 bitcoins, valued at approximately $298.7 million, and was part of a larger seizure of over 49,000 bitcoins, now worth about $1.5 billion due to current market conditions.

Distribution of Bitcoin

The authorities allocated 1,625 bitcoins to two new addresses, while the remaining 8,200 bitcoins were distributed across eight whale wallets. These wallets were previously inactive for two years. The distribution occurred through 101 transactions, with many involving 79.2 bitcoins each.

Bitcoin Market Dynamics

This significant move by the US government coincides with a slight 1.3% decline in bitcoin's price over the past 24 hours. Despite this dip, bitcoin remains above the $30,000 mark, trading around $30,400. The 24-hour trading volume has surged by 22%, reaching $14.5 billion, indicating heightened market activity.

Shift in Investor Behavior

A recent report highlighted a shift among bitcoin investors towards self-custodial wallets, as the amount of bitcoin on exchanges hit a five-year low. This trend suggests a growing preference for increased security and control over digital assets.

The redistribution of seized bitcoin by the US government and the evolving investor behavior underscore significant developments in the cryptocurrency landscape, reflecting changing market dynamics and investor strategies.