Senator Cynthia Lummis sounded the alarm this week after a Freedom of Info Act response confirmed the US Marshals Service holding simply 28,988 BTC. She warned that offloading greater than 80% of the federal government’s Bitcoin stash can be a “strategic blunder.”
Based mostly on studies, that determine sparked issues that the US had bought on a large scale, dropping from about 198,012 BTC earlier within the 12 months to below 30,000 BTC in a single day.
Confusion Over Bitcoin Custody
In keeping with the FOIA response, the USMS oversees seized and forfeited cryptocurrencies, together with Bitcoin. The quantity it reported—about 29,000 BTC—displays solely the cash formally turned over to that company for public sale.
I’m alarmed by studies that the U.S. has bought off over 80% of its Bitcoin reserves—leaving simply ~29,000 cash.
If true, it is a whole strategic blunder and units america again years within the bitcoin race. https://t.co/ciYf1uhy0x
— Senator Cynthia Lummis (@SenLummis) July 16, 2025
Different branches of legislation enforcement nonetheless have massive portions of Bitcoin in “seized” standing, pending judicial choices. These cash aren’t a part of the USMS tally.
Estimates from Arkham Intelligence and public pockets trackers present the federal authorities nonetheless controls roughly 198,012 BTC, value about $23.50 billion at present costs. No on‑chain proof suggests the US bought its reserve. As a substitute, the cash are held in numerous wallets throughout a number of businesses.
On‑Chain Knowledge Paints A Totally different Image
On‑chain data present the whole federal Bitcoin holding has scarcely moved this 12 months. The preliminary 198,012 BTC determine got here from prison and civil forfeitures. When seizures develop into forfeitures, the property shift into USMS custody.
Till then, they continue to be off‑books for that company. That break up explains why one report cited 29,000 BTC whereas one other pegs whole holdings at almost 200,000 BTC.
US President Donald Trump signed an govt order earlier this 12 months directing that forfeited Bitcoin be held in a strategic reserve. He additionally requested the Commerce and Treasury departments to search out methods so as to add to the stash with out costing taxpayers additional {dollars}.
Expanded Crypto Portfolio
Past Bitcoin, the federal government holds different digital property as a part of its cryptocurrency portfolio. It has 347 million USDT stablecoins readily available. There are 59,951 ETH, valued at about $202 million.
Alright my guys. Since we now all have our panties in a jumble over the US Authorities „promoting their bitcoin“, Id prefer to warn you to the very fact that there’s a distinction between *seized property* and *forfeited property*.
The USMS is principally in command of *forfeited property*, that means…
— L0la L33tz (@L0laL33tz) July 16, 2025
The federal government additionally retains 750 wBTC, value almost $89 million, and 40,293 BNB, which whole round $29 million. These figures push the general crypto portfolio to about $24.25 billion in market worth.
A journalist who goes by the identify “Lola L33tz” filed the FOIA request. She harassed that seeing 29,000 BTC within the USMS report doesn’t imply any cash had been bought.
She clarified that seized property nonetheless held by the FBI or different businesses received’t present up in USMS custody till after the courts forfeit them.
Featured picture from Pixabay, chart from TradingView
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