A bombshell report claiming the U.S. government liquidated 85% of its Bitcoin holdings has been categorically debunked by blockchain intelligence firm Arkham. Contrary to panic-inducing headlines, the federal treasury remains one of the world’s largest Bitcoin whales, sitting on 198,000 BTC worth $24 billion, a revelation that simultaneously clarifies market uncertainty and reignites fears of future sell pressure.
Just days after sensational reports claimed the U.S. sold 171,000 BTC, Arkham identified a critical oversight; analysts failed to account for Bitcoin distributed across multiple government agencies. While the U.S. Marshals Service manages a portion, significant stashes reside with the FBI, DOJ, DEA, and U.S. Attorney’s Offices from seizures like Silk Road and Bitfinex hacks. “The US Government currently holds at least 198,000 BTC,” Arkham confirmed, noting the erroneous report stemmed from tracking only the USMS wallet.
With its holdings now verified at $24 billion, the U.S. government dwarfs other national BTC reserves:
Initial reports of a sell-off paradoxically highlighted Bitcoin’s resilience, as prices held firm despite the supposed $20 billion overhang. Now, with confirmation that the government didn’t sell, relief is tempered by resurfaced fears: any future liquidation could trigger seismic market tremors. “The potential market impact if the US government decides to sell its Bitcoin remains a very real concern,” Arkham noted, acknowledging the double-edged sword of its findings.
The timing amplifies significance: this revelation lands just days before the July 30 release of President Trump’s 180-day crypto task force report. Key expectations include:
