The U.S. government transferred 3,940 Bitcoin to a Coinbase Prime wallet on June 26, as per data from Arkham Intelligence. The transaction occurred at 5:00 pm UTC and involved Bitcoin (BTC) confiscated from Banmeet Singh, a convicted drug trafficker earlier in 2024.
Details of the 3,940 Bitcoin transfer to Coinbase can be found in the transaction data provided by Arkham Intelligence.
Banmeet Singh’s Case
In 2019, British authorities arrested Singh in London on drug trafficking charges. He was later extradited to the United States in 2023. The U.S. Department of Justice alleged that between 2012 and 2017, Singh operated a narcotics distribution network spanning across Maryland, New York, North Dakota, Washington state, Ohio, North Carolina, and Florida.
Singh was required to relinquish over 8,100 Bitcoin—valued at approximately $150 million at the time—to U.S. authorities as part of his sentence. This marked the largest cryptocurrency seizure ever conducted by the DEA. In April 2024, Singh received a five-year prison term, but with credit for time served, he was reportedly released by U.S. authorities. Reports suggest he intends to return to India following his release.
Concerns Over Government Sell-Offs
Recent reports of the German government liquidating its Bitcoin holdings, valued at about $2.76 billion, have sparked worries among market participants regarding potential impacts on the Bitcoin market. On June 26 at 9:27 am UTC, a transaction involving 345 Bitcoin being sent to a wallet named “Flow Traders” took place.
The U.S. government also possesses a significant amount of Bitcoin acquired through seizures and asset forfeitures. Arkham data indicates that the U.S. government currently holds roughly 214,000 Bitcoin, valued at around $13 billion, making it the largest state holder of the cryptocurrency in the Arkham Intel database.
Additionally, fears of a decline in Bitcoin price have been fueled by the Mt. Gox bankruptcy estate’s plans to sell off 140,000 Bitcoin to compensate victims of the infamous 2014 Mt. Gox collapse. However, exchange balances are at their lowest levels in six years, providing a stabilizing influence against these selling pressures.
Feature Story:
Exploring the Intersection of Cryptocurrency Trading and Substance Abuse among Crypto Enthusiasts.