- The US Government has more than 4,000 Bitcoins at its disposal that are ready to be auctioned.
- Registration began on February 3, and the auction will kick off on the 18th.
The US Marshal Service has announced it would be auctioning off more than 4,000 Bitcoin (approximately $39.2 million) this month.
The US government holds more Bitcoin than most HODLers
The US Marshal Service recently released an official announcement on its website, detailing its scheduled Bitcoin auction for the 18th of this month. According to the article, exactly 4,040.54069820 BTCs are ready to be put up for auction.
Interested participants are required to make a deposit of $200,000 as a validation of registration before February 12. While Bitcoin might be for everybody, this auction surely isn't.
Winners of the eventual bid are going to be notified by email a day after the bid, says the statement.
“The USMS will notify the winning bidder(s) via email with instructions for the next step to complete their transaction the same day as the auction, even after 5:00 PM EST. The winning bidder must send the purchase price funds (less the deposit amount) by a wire transfer originating from a bank located within the United States and provide a wire transmittal receipt to the USMS by 2:00 PM EST, on Wednesday, February 19, 2020.”
The fact that the US government owns this many Bitcoins is not surprising, given its operations and covert seizures over the years. It is important to note that this is not the first Bitcoin auction held by the United States government. The last one happened as recently as 2018, when the government put up 660 Bitcoins for bids in November. One of the most memorable auctions happened in 2014, when venture capitalist Tim Draper bought 30,000 BTC for a little more than $18 million. At today's prices, this amount of Bitcoin would translate to almost $300 million.
How the US government gets its Bitcoins
Sources allude that the current stash of Bitcoins was obtained through almost 60 federal criminal, civil and administrative cases, with multiple forfeitures involving the DEA. The Forfeiture.gov site records criminal forfeiture actions and might remain the best place to uncover news of the latest forfeitures. What remains true, however, is that regardless of the US government stance on Bitcoin, this is most likely not its last Bitcoin auction.
The US Government has more than 4,000 Bitcoins at its disposal that are ready to be auctioned.