In a significant development, the U.S. government has made a series of moves regarding the cryptocurrencies it seized from legal battles with multiple cryptocurrency firms, prominently including FTX.
Back in November 2022, FTX crumbled due to severe mismanagement of funds. Since then, the U.S. government has been in possession of the seized crypto assets.
On December 3, as per Arkham Intelligence data, the transfer operations began. The initial transfer involved a staggering 54.8 billion Shiba Inu tokens. At the time of the transfer, this amounted to approximately $1.55 million. This was closely followed by the movement of $17.2 million worth of Ethereum to a separate wallet.
Not stopping there, the government also transferred 13.5 million Binance USD (BUSD). Additionally, $36,070 worth of Axie Infinity (AXS) was moved.
Furthermore, a collection of other cryptocurrencies worth a total of $296,000 was also part of the transfer. This includes $106,430 of Compound (COMP), $93,950 of Numeraire (NMR), $50,710 of Wrapped Bitcoin (WBTC), and $47,350 of Yearn Finance (YFI).
These transfers have drawn significant attention within the cryptocurrency community and raise questions about the government’s plans for these seized assets. Will they be sold, held for further investigations, or used in some other way? The cryptocurrency market will be closely watching for any further developments.
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