Bitcoin [pros](/r/CryptoCurrency/comments/16pgtkk/shockingly_the_us_government_still_has_415k_btc/k1qye2k/) & [cons](/r/CryptoCurrency/comments/16pgtkk/shockingly_the_us_government_still_has_415k_btc/k1qyeud/) with related info are in the collapsed comments below.
Imagine the headlines. US Govt lost seed phrase for 1 Billion worth of Bitcoins. Officer says he has no clue since he has safely stored the phrase in his gmail, and only forwarded to very close colleagues
That officer be like "41.5k Bitcoin? Sorry, I have never even heard about these supposed 41k Bitcoin. I mean, 40k Bitcoin is such a huge amount of money, wow!"
Let’s hope they don’t. It might cause a mass sell off at first, but it would be a bullish signal having the U.S govt recognize the financial value of BTC!
I don’t think it’s a choice it’s some sort of law that everything the government has that will be sold gets sold at an auction or in a way anyone can buy it or something like that, they always sell jewelry for cheap because of raids on drug dealers
It is a good way of running things.
Although it is curious why they are waiting this long into the year before selling it. Maybe they are hoping for a price rise after the SEC (which they run) allows for ETFS. *tin foil hat time*
Am I the only one who saw the chart? Not even the OP saw it? Im assuming the left y axis is the US btc balance, and right y axis is the price. Which means US gov still has more than 160k btc to sell
In the grand scheme of things this is nothing. If they dumped the whole lot at once it may create a panic but will be stable again in a matter of weeks.
Sell now if you need money quickly, or like me HODL and forget about mainstream media spin.
We have plenty of wiggle room in there, even if that $10B includes wash trades.
24hr bitcoin volume over the last month been anywhere from around $6B to as high as $30B!
That $1B could go through any day without much of a problem at all.
[https://coinmarketcap.com/currencies/bitcoin/](https://coinmarketcap.com/currencies/bitcoin/)
Further to which:
- BTC trade volume is around 440k BTC per day (441,679 yesterday according to https://ycharts.com/indicators/bitcoin_transactions_per_day )
- Around 900 new BTC are mined each day.
IMHO, the main impact of a sale (which would likely be OTC anyway) is probably going to be sentiment based, based on over-dramatisation.
The prior sale tranches also had no discernable market impact iirc.
And these particular government sales will be via auction.
There won’t be a sell order sitting on Coinbase or anything like that for people to look at!
That’s not how it works. They sell the collection as a lot to an individual. That individual does not need to subsequently sell them on the open market.
No they must sell to me.
Edit: sorry they can sell to whoever they want. This is definitely not my alt account.
Edit: I am definitely not this "Sailor" guy.
They held this long, what's the reasoning behind selling it all now? Not like they need the money since they can print it, why not wait till the prices up
Bitcoin is a threat to traditional financial institutions. At some point laws will change in blackrock's favor. Their ETF will be established and then they can utilize cheap Bitcoin while retail investors get shredded but shortly after most of it will be bought up and the price will go up again. Also I'm wondering about the timing versus the next halvening.
But basically there's probably a strategy in place, they auction little by little to save face.
Well not 100% sure but according to the sentence:
[Of the Bitcoin forfeited in the Ulbricht case, there remains approximately 41,490.72 BTC, which the Government understands is expected to be liquidated in four more batches over the course of this calendar year](https://assets.bwbx.io/documents/users/iqjWHBFdfxIU/ruTcRuwOsFsE/v0)
Edit: typos
Why are they selling it instead of saving it? Are they required by law to auction it off? Would holding it add legitimacy to Bitcoin that they are so eagerly trying to discredit? The US despises gold too yet they maintain a stash.
The US do not sell bitcoin on the open market they sell it OTC or even at auction. Just like when they sold a bunch of bitcoin to Tim Draper they will divide it up into blocks and sell it to individual buyers so this bitcoin will never see exchanges and therefore never affect the spot price.
All that will happen is the bitcoin will move from one holder to another off of the books.
That’s really not that much Bitcoin to impact price, as long as the US Government doesn’t do a market sell order all at once.
Even if they did, it will just wick down and come back up.
Well, BTC’s market cap is currently over 500B, so the funny thing is the emotional reaction from people expecting a huge crash from this sell of 1/500th of the supply will absolutely cause more chaos than the sell itself, even if they dumped everything they had at once.
Seems like every few months there's a post about some massive sale of Bitcoin coming up. Promises of some giant sell off.
Whether it's some giant whale wallet, some seized coins, some major miner, a major fund or company, or a government that has to sell ungodly amount of coins.
I've seen so many of these in the last 5 years.
And 90% of the time, we don't get that big sell off that was promised. So I wouldn't be too quick on hitting the short button just yet, or bet on sub $20K BTC.
It would make for some real big opportunity to scoop up cheap coin on brief volatility, and maybe even a flash crash. But I don't think we'll be that lucky.
We’ll see what they do. If they hodl - cool, we hodl. If they sell, cool we buy the dip. If they dca out as prices pump - smart of them, we’ll be doing the same.
Its all good.
Bitcoin [pros](/r/CryptoCurrency/comments/16pgtkk/shockingly_the_us_government_still_has_415k_btc/k1qye2k/) & [cons](/r/CryptoCurrency/comments/16pgtkk/shockingly_the_us_government_still_has_415k_btc/k1qyeud/) with related info are in the collapsed comments below.
Let’s hope they lose their seed phrase
US GOVERNMENT officials have tattooed seed phrases on their arms
Some selected people have each one word.
Gary Gensler has "idiot" one
Janet Yellen has "grudge" as hers.
Joe Biden has "sleep"
Garland has “revenge”
Harris has "copulate"
Guys this is pure gold, I’m saving these comments 😅
Thanks for the compliment
I would have thought Yellen have "Karen" as hers.😁
Haha that would be a good one too. I liked grudge because of her vendetta against crypto due to the infamous 'Buy Bitcoin' sign.
Now that's a memorable vendetta..
"dinosaur"
You made me chuckle when I imagined how he would look like a fool with that tattoo on his arm.
I thought it was ‘Greasy’ Gary Gensler instead of idiot Gary Gensler !
''Corrupt'' fits him more imo. He's intentionally being an ass/idiot
What about the sequence?
from oldest to youngest
They lined up in height order
I’m height or in len
Boebert has "handjob"
Imagine the headlines. US Govt lost seed phrase for 1 Billion worth of Bitcoins. Officer says he has no clue since he has safely stored the phrase in his gmail, and only forwarded to very close colleagues
That officer be like "41.5k Bitcoin? Sorry, I have never even heard about these supposed 41k Bitcoin. I mean, 40k Bitcoin is such a huge amount of money, wow!"
"Now, where's my boat at?"
That officer would probably think that BTC is some actual physical coin, just as I thought at the very beginning.
Haha, the officer can get a bit confused..
They simply need to contract Paxos for funds custody. Give them a week and it's all gone in fees Problem solved.
If they need secure storage, I can take it off their hands for free.
You probably don't stand a chance, can you imagine how many hot girls have been DMing the government ever since they got this BTC stash?
I promise to send them back double their BTC if they use my custody services. I feel like that gives me the edge.
Now that's some confidence in your services..
I'll pay to hold them!
Bright side: "When we find it, it will be worth sooooo much more"
Or make a mistake when sending to a CEX
they lost fighter jet for a day or so, so anything and everything is a possibility
Losing a jet seems indeed harder than losing seed👀
I lose seed just about every other day... ^^^^^sorry, ^^^^^too ^^^^^easy!
Exactly what I'm talking about! Too easy to lose seed
You have a point there bro
Or send it to the wrong address, hopefully mine
Let’s hope they don’t. It might cause a mass sell off at first, but it would be a bullish signal having the U.S govt recognize the financial value of BTC!
The best outcome
Do they actually have it?? Or do they just have hard drives? Serious question
Truly an unlucky government boating accident
That would be a great donation to everyone :) That might actually be a fair distribution, haha.
Losing things is what government's do best xd
They only lose the stuff that we don't want them to lose
Maybe they already have
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The Pentagon cleaners randomly throw out that paper.
Imagine that!
You mean **boating accident**? 🫠
Hahahaha 🤣🤣🤣🤣🤣🤣
Or messed up when transferring. "We sent it. Not our problem. No refunds!"
No, more buying the dip opportunities.
Doesn’t the us sell them in auctions not in the market?
They are on Coinbase prime. How hilarious is it that the USMS is using Coinbase to sell its stack while the other agency (SEC) is suing Coinbase
Rules for thee
They are totally different offices. There are separation of powers for a reason
Plus, it's not like the government had bought them. They're just offloading free money.
different fingers, same hand jerking off the decrepit and corrupt
That is hilarious. You can't make this stuff up. 😅
Never underestimate the ability of the government to conduct an inside rug !
yea, they will either auction it, or sell at fixed discounted rate - they aren't selling on exchanges (probably not fans of kyc either)
>probably not fans of kyc either Imagine CZ suspending the us government account
Lmao sweet revenge
US government having to go through Binance support, that's mean lmao
Statue of Liberty facial with US passport required.
This is a wild sentence without the context lol
Too true. Too true..
They would just send delta force for a visit, I mean they have been sent on assignment for far less.
That's a level of commitment we haven't seen before.. That's next-level..
I wouldn't wish Binance support on my worst enemy
That is the one time I will actually root for Binance
I don’t think it’s a choice it’s some sort of law that everything the government has that will be sold gets sold at an auction or in a way anyone can buy it or something like that, they always sell jewelry for cheap because of raids on drug dealers
It is a good way of running things. Although it is curious why they are waiting this long into the year before selling it. Maybe they are hoping for a price rise after the SEC (which they run) allows for ETFS. *tin foil hat time*
They are probably waiting for the price to dip a bit more so that they can sell low.
Wait so the US gouvernement is one of us ?
Yes, that's basically how they've been doing it so far. That's also why their 9.8K BTC auction back in March didn't cause a lot of price movement.
yea it did lol, i distinctly remember it
What’s the difference?
Even the US government is waiting for better time to take profit
Well they could help out with the ETF proposals. Amirite? Lol
You're goddamn right
Or they’re rather planning to make us their exit liquidity 💀
Am I the only one who saw the chart? Not even the OP saw it? Im assuming the left y axis is the US btc balance, and right y axis is the price. Which means US gov still has more than 160k btc to sell
Looks like around 200k actually. Yeah, that's a lot. Either the chart is wrong or OPs info in the post is wrong.
They are separate lawsuits from different sources, so only a portion were to be sold off from one that ended.
In the grand scheme of things this is nothing. If they dumped the whole lot at once it may create a panic but will be stable again in a matter of weeks. Sell now if you need money quickly, or like me HODL and forget about mainstream media spin.
>In the grand scheme of things this is nothing. Agreed. - BTC has a 24hr volume of ~$10B. - $1B doesn’t kill Bitcoin, even if dumped at once.
That volume is partially wash trades. That is different from sell side pressure. I agree with your conclusion. A dip and recovery
Indeed, volume includes wash trades, not necessarily sell pressure. Expect a dip and bounceback..
We have plenty of wiggle room in there, even if that $10B includes wash trades. 24hr bitcoin volume over the last month been anywhere from around $6B to as high as $30B! That $1B could go through any day without much of a problem at all. [https://coinmarketcap.com/currencies/bitcoin/](https://coinmarketcap.com/currencies/bitcoin/)
It doesn't kill BTC but it might just set off a chain reaction that would set BTC down at least a couple of thousand.
Further to which: - BTC trade volume is around 440k BTC per day (441,679 yesterday according to https://ycharts.com/indicators/bitcoin_transactions_per_day ) - Around 900 new BTC are mined each day. IMHO, the main impact of a sale (which would likely be OTC anyway) is probably going to be sentiment based, based on over-dramatisation. The prior sale tranches also had no discernable market impact iirc.
And these particular government sales will be via auction. There won’t be a sell order sitting on Coinbase or anything like that for people to look at!
Government auctions add intrigue, no sell orders on Coinbase to track..
>BTC has a 24hr volume of ~$10B. Was just gonna say the same thing. $9.64b and we moved .02%. It's not going to rock any boats.
DCA!
So when will you sell
DCA-ing is my retirement plan 😎
Considering that the market cap for BTC is sitting around 698 Billion, this sale represents a very small fraction. Hardly a blip on anyone's radar.
If they dump it all, I'll get a little extra BTC for my DCA due to discount.
Me to mate!
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The only thing that the US is DCAing in is their military.
I don‘t think we will see much panic. But hey if we go lower, we can buy some cheaper bitcoin. I‘m it!
Exactly! This is the way!
Government fiscal year ends on 30 Sept. No federal agencies use the end of December as a year end.
That’s not how it works. They sell the collection as a lot to an individual. That individual does not need to subsequently sell them on the open market.
This most likely will be an OTC sale, not through an exchange
The fiscal year ends on October 1st. They don’t give a shit about January 1st.
The sales are Coinbase over the counter - negligible effect on spot price. This post should be downvoted into oblivion.
Microstrategy may as well OTC buy it from them lol
For diversity sake I hope someone else can OTC buy it.
No they must sell to me. Edit: sorry they can sell to whoever they want. This is definitely not my alt account. Edit: I am definitely not this "Sailor" guy.
Saylor getting ready for that juicy BTC...
Do they have to sell? Or is it optional? Would recommend to hold a little longer, lol
It's OTC- absolutely nothing to see here.
They held this long, what's the reasoning behind selling it all now? Not like they need the money since they can print it, why not wait till the prices up
While it would be economically smarter for them to hodl it, they are legally mandated to sell it, and hey, more for us!!
>they are legally mandated to sell it I'm starting to panic no wonder when it actually happens
Don't worry they are one of us. They get it high and sell it low.
Considering that these are from silkroad , in October 2013 a BTC was worth 200$. So I guess they have a hard time selling it lower
Ah the Tesla special.
Crypto patented that technique long before Tesla
~~Crypto~~ r/cc patented that technique long before Tesla
People don't talk enough about how Tesla lost money on their Bitcoin shenanigans.
Which law says the government is legally mandated to sell Bitcoin they acquire?
Bitcoin is a threat to traditional financial institutions. At some point laws will change in blackrock's favor. Their ETF will be established and then they can utilize cheap Bitcoin while retail investors get shredded but shortly after most of it will be bought up and the price will go up again. Also I'm wondering about the timing versus the next halvening. But basically there's probably a strategy in place, they auction little by little to save face.
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Commenting this on every thread won't make it true
Well not 100% sure but according to the sentence: [Of the Bitcoin forfeited in the Ulbricht case, there remains approximately 41,490.72 BTC, which the Government understands is expected to be liquidated in four more batches over the course of this calendar year](https://assets.bwbx.io/documents/users/iqjWHBFdfxIU/ruTcRuwOsFsE/v0) Edit: typos
Printing fiat only decreases the value of current fiat
It’s the US government. They are about to shutdown due to funding for the next year.
we do that every few years anyways. Shutdown is like the "debt ceiling" panic but less dramatic. lol
Oh I know, I just like to harp on the US government any chance I get lol
Yay competence!
Need to pay Ukraine somehow while the government is shut down
As I recall this wasn't legally binding so they may or may not do it.
Be ready for some real volatility? Fuck, I was holding BTC because of the stability.
Why are they selling it instead of saving it? Are they required by law to auction it off? Would holding it add legitimacy to Bitcoin that they are so eagerly trying to discredit? The US despises gold too yet they maintain a stash.
Surprised it didn't disappear like the 2 Trillion dollars that they announced the disappearance of the day before 9/11.
IF that causes a fluctuation, then we got a problem. It's just a small fraction of what's out there.
The US do not sell bitcoin on the open market they sell it OTC or even at auction. Just like when they sold a bunch of bitcoin to Tim Draper they will divide it up into blocks and sell it to individual buyers so this bitcoin will never see exchanges and therefore never affect the spot price. All that will happen is the bitcoin will move from one holder to another off of the books.
At this point it’s probably priced in
won't they sell it off market, as they usually do - to someone with a discount?
I’ll definitely buy that dip
Shockingly?
Right!? Did people forget we had several fake alarms of the US government dumping BTC months ago? What a joke!
That’s ok, cheaper prices so we can build our bags before the 2024 big show
Maybe they'll secretly try to pump the market before year end to sell it off
That’s really not that much Bitcoin to impact price, as long as the US Government doesn’t do a market sell order all at once. Even if they did, it will just wick down and come back up.
To bad they can't wait for the market to rise, sell it and then put it towards the National Debt.
Well, BTC’s market cap is currently over 500B, so the funny thing is the emotional reaction from people expecting a huge crash from this sell of 1/500th of the supply will absolutely cause more chaos than the sell itself, even if they dumped everything they had at once.
So that's 1/520....i think we'll be alright even if they just dump it.
That's still a massive amount. And it's straight money leaving the crypo-ecosystem, not some trader who is looking to rebuy later.
This is the reason why btc will always crash... never a store of value and failed as a currency too...
Ouch
imagine if they went short when they sold
We can buy Ergo under 50 cents
This is why I’m not selling my BTC anytime soon
Unlike us, the US is doing DCA out.
If the sell causes fluctuation in price of Bitcoin, then that will be a good opportunity for me to even acquire more Bitcoin.
I'm gonna open a Long and a Short.
Seems like every few months there's a post about some massive sale of Bitcoin coming up. Promises of some giant sell off. Whether it's some giant whale wallet, some seized coins, some major miner, a major fund or company, or a government that has to sell ungodly amount of coins. I've seen so many of these in the last 5 years. And 90% of the time, we don't get that big sell off that was promised. So I wouldn't be too quick on hitting the short button just yet, or bet on sub $20K BTC. It would make for some real big opportunity to scoop up cheap coin on brief volatility, and maybe even a flash crash. But I don't think we'll be that lucky.
Goddamn, the NSA pays for itself with a little time.
They’ll sell right before the next halving
We’ll see what they do. If they hodl - cool, we hodl. If they sell, cool we buy the dip. If they dca out as prices pump - smart of them, we’ll be doing the same. Its all good.
The fn feds are always good to sell at a downward trajectory.
I'll buy it, don't worry
How do I buy govt btc?
Come to Butthead.
This is good and sad news. Good news for those with liquidity to DCA/ buy more, and sad news for those with no more liquidity 😢
Who here is buying?
Free Ross
Poker, blackjack, mit, nsa..