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The U.S. Strategic #Bitcoin Reserve is moving from theory to practice following new confirmation from the Department of Justice. Federal officials confirmed that Bitcoin forfeited in the Samourai Wallet case has not been sold.
The assets will also not be liquidated in the future. Instead, they will remain on the U.S. government balance sheet as part of the Strategic Bitcoin Reserve.
Bitcoin Sell-Off Fears Ease After DOJ Confirmation
The update came from Patrick Witt, Executive #Director of the President’s #Council of Advisors for Digital Assets. Patrick Witt, Executive Director of the President’s Council of Advisors for Digital Assets stated the DOJ verified the current status under Executive Order 14233.
#Executive Order 14233 directs all forfeited Bitcoin to be retained, and not sold, by the U.S. Federal Government. This is consistent with overall expectations around reserve policies, which include a previous strategic Bitcoin reserve outlook, from ARK Invest CEO Cathie Wood.
As reported through multiple media releases, it has been claimed that the seized Bitcoin has already been liquidated. The plea of guilt by the Samourai Wallet developers to the charges brought against them by prosecutors created the concerns.
However, the U.S. Department of Justice has stated that those concerns are not true. The forfeited Bitcoin associated with the Samourai Wallet will remain an asset of the U.S. Government and may be used as a strategic asset.
This is a significant break from the years of standard practice of selling forfeited cryptocurrency immediately following a seizure.
Can U.S. Holding of Bitcoin Reduce Its Volatility in the Markets?
In the past, forfeited Bitcoin was sold through auctions or sold in the open markets, adding unanticipated supply to the markets, including times when market conditions are most sensitive. There have been concerns raised by lawmakers regarding oversight.
Recently, Senator Lummis expressed concerns about the DoJ selling forfeited Bitcoin. In deciding to keep the Bitcoin, the U.S. is signaling a paradigm shift in how the U.S. views digital assets.
No longer will Bitcoin be seen as nothing more than an item to be confiscated. But instead, it will be recognized as a long-term strategic resource, similar to other commodities and sovereign reserves.
This perspective of Bitcoin aligns with the way that many other digital assets are being viewed rather than an asset whose primary purpose is to be sold.
The confirmation of the U.S. #Department of Justice also helps to alleviate concerns of investors related to government-led sell pressure. Investors have long monitored government-related Bitcoin wallets for evidence of sell orders and/or actual sales.
The sell-off actions from the U.S. government may create significant market volatility and downward price movement of cryptocurrencies, including Bitcoin. Holding first, rather than immediately liquidating the seized Bitcoins may help mitigate these types of negative pressures on the market.
Is The U.S. Setting The Global Benchmark For Bitcoin?
This event supports the previous evidence of the commitment of all federal agencies to implement the Strategic Bitcoin Reserve framework. This event also supports that law enforcement agencies are working together with the executive branch to coordinate their enforcement efforts.
Coordination between prosecutors and policymakers has historically not been uniform. However, this represents a positive step forward.
The implications of this decision may extend beyond U.S. borders and influence the way other countries treat and manage seized digital assets. Countries often view U.S.-led policies as a model for their own policy-making. Hence, international influence is already apparent as Taiwan plans a Bitcoin reserve using seizures and use the seized assets to starts its strategy.
An alternative to liquidating assets could become a normal method of handling seized digital assets globally. Thus, they provide support for state-wide adoption of Bitcoin as a legitimate strategic asset class.

Federal Reserve Chair Jerome Powell is at the centre of a #Department of Justice (DOJ) probe over his congressional testimony regarding the renovation costs. Despite this development, crypto traders are currently betting against the #Fed chair facing a criminal indictment, even as U.S. President Donald #Trump continues to pressure the Fed to lower rates.
Jerome Powell Unlikely To Be Federally Charged: Polymarket
Polymarket data shows only a 12% chance that the DOJ will charge the Fed chair by June 30, around the time his term ends. #Crypto traders are making these bets despite the criminal investigation into the Fed chair.
Source: Polymarket
As CoinGape reported earlier, the DOJ is conducting a criminal investigation intoJerome Powell’s testimony before the Senate Committee and whether he committed perjury. This development comes months after Rep. Anna Paulina Luna criminally referred the Fed chair to the Justice Department for allegedly lying under oath.
Notably, the criminal probe into the Fed chair comes as Trump continues to pressure the Fed to lower interest rates drastically. The president has also at different times stated that he was considering suing the Fed chair over the renovation costs and has constantly criticized him for his refusal to make larger cuts.
However, Trump said during an interview with NBC News that he did not know about the DOJ’s investigation into Jerome Powell. He again criticized the Fed chair as not being very good at the U.S. central bank.
The Fed chair becomes the second Fed official facing a DOJ probe, after the Justice Department launched an investigation last year into whether Fed Governor Lisa Cook committed mortgage fraud. Meanwhile, this development comes ahead of the January FOMC meeting, where the committee is likely to hold rates steady despite the president’s calls for more cuts.
Statement On The DOJ Criminal Investigation
In a statement confirming that the DOJ served the Fed with grand jury subpoenas, Jerome Powell suggested that the criminal investigation was politically motivated. The Fed chair noted that the subpoenas had threatened a criminal indictment related to his testimony before the Senate Banking Committee.
He claimed that the threat was not about his testimony or the renovation project, but about the Fed setting interest rates based on its assessment of what will serve the public, rather than following the president’s preferences. This is notably the first time Jerome Powell has directly addressed Trump’s push for lower interest rates.
The Fed chair further remarked that the investigation was about whether the U.S. central bank can continue to set interest rates based on evidence and economic conditions, or whether, instead, it will allow political pressure or intimidation to determine monetary policy. “I will continue to do the job the Senate confirmed me to do, with integrity and a commitment to serving the American people,” Jerome Powell concluded.