US Marshals: 28,988 Bitcoin; Lummis Labels Sell-Off Misstep
Recent FOIA disclosures show the US Marshals Service holds just 28,988 Bitcoin, valued at $3.4 billion, far below earlier estimates of 198,012 BTC and $25 billion. This challenges the Trump administration’s 2020 policy designating Bitcoin as a national reserve asset and aiming to expand holdings through budget-neutral measures. Wyoming Senator Cynthia Lummis, a noted Bitcoin advocate, criticized the sale of over 80% of government reserves as a strategic misstep that weakened the US position in the global digital asset race. The revelation boosts market confidence by reducing perceived sell-off risk and highlights ongoing transparency issues in federal crypto reserves. Traders should monitor shifts in Bitcoin demand and policy updates, as other nations increase digital asset reserves amid geopolitical tensions.
Neutral
The FOIA disclosure that the US Marshals Service holds significantly fewer Bitcoin than estimated reduces immediate sell-off concerns, which can support short-term market stability. However, Senator Lummis’s criticism and the spotlight on federal transparency may dampen investor sentiment. In the long run, potential policy shifts and geopolitical competition for digital asset reserves could introduce volatility. Balancing these opposing factors, the overall impact on Bitcoin’s price is likely neutral.