The US Government’s Liquidation of High-Value Crypto Could Net Another 5,000 BTC
This week, the crypto community has been engaged in discussions regarding President Trump’s newly established Strategic Bitcoin Reserve alongside a U.S. Digital Asset Stockpile. The development follows Trump’s disclosure on Truth Social the weekend prior that XRP, SOL, and ADA would join the mix. The peculiar detail is that the U.S. government has not seized XRP, SOL, or ADA in any recognized capacity.
Fed Records Reveal Zero Holdings in SOL, ADA, and XRP
After Donald Trump signed the Strategic Bitcoin Reserve Executive Order (EO), the nation’s Crypto Czar, David Sacks, turned to X to elucidate several details about the EO. Sacks stressed that a bitcoin reserve would be established and that the U.S. government would not sell any of the confiscated coins it has acquired. He also stated that Trump’s EO establishes a U.S. Digital Asset Stockpile, “consisting of digital assets other than bitcoin forfeited in criminal or civil proceedings.”
Sacks continued:
The government will not acquire additional assets for the Stockpile beyond those obtained through forfeiture proceedings.
This puts ADA, XRP, and SOL in a precarious position, given that the U.S. government—though never publicly confirmed—holds these three assets. Onchain analytics and reports fail to indicate that these particular coins have ever been in government custody following previous seizures. What is documented is the onchain bitcoin confiscated and publicized by government entities over the years, with onchain data revealing just over 198,000 BTC ($16.26B) in state possession.
The U.S. government’s cache of digital assets on March 9, 2025, according to onchain data compiled by Arkham Intelligence.
The feds possess 60,850 ETH, valued at $122.96 million at current bitcoin exchange rates, and this cache might be liquidated for 1,522.86 BTC. In addition, it retains another 122 million USDT, which could yield roughly another 1,500 BTC or so. Moreover, the government holds a reserve of wrapped bitcoin (WBTC), securing 750.722 WBTC valued at $61.69 million. Since it is wrapped, it may remain in that form or be converted back to native BTC.
The feds also hold 40,293 BNB, worth $22.34 million, which could be incorporated into the stockpile or liquidated for 276.86 BTC. The U.S. agencies’ wallets further command $13.62 million in BUSD, a now-retired stablecoin that remains redeemable. If sold and exchanged for BTC, the feds could garner an additional 168.76 BTC. The government additionally holds $13.40 in AUSDC, which could be exchanged for approximately 166.08 BTC. Collectively, the balances exceeding $1 million (apart from AUSDC) amount to $49.97 million, and if liquidated at current BTC exchange rates, could yield 619.27 BTC.
This implies that if the government liquidated every coin from ETH down to all balances of $1 million and above, it could fetch 5,004.55 BTC. Trump’s Crypto Czar already noted that some crypto assets could be reallocated into BTC for better portfolio management.
