The US Marshals Service (USMS) missed a deadline to provide information to Senator Cynthia Lummis about Bitcoin seized from the Silk Road case. Senator Lummis expressed concerns over the planned sale of about 69,370 Bitcoin, worth around $7 billion. She worried this could lead to financial losses for taxpayers and conflict with previous policies from the Trump administration.
In her letter, Lummis pointed out that the USMS had previously sold 195,092 Bitcoin from 2014 to 2023, generating only $366 million. At current prices, those Bitcoin would now be worth over $18.9 billion, indicating a significant loss of potential value. She also referenced a court filing where the Department of Justice mentioned Bitcoin price volatility as a reason for a quick sale, which she found concerning, especially during a presidential transition.
Lummis called for more transparency in how the USMS manages Bitcoin assets. She wanted public disclosure of holdings and accountability for past losses. At the time, there was speculation that Trump would issue an executive order to create a national Bitcoin stockpile, a promise from his campaign. On January 23, Trump signed an order to explore the feasibility of a national digital asset stockpile, which could include Bitcoin.
The USMS manages about $7.6 billion in seized digital assets. Although they missed the deadline, a source indicated they would brief Lummis and her staff soon. Lummis has been appointed chair of the new Senate Banking Subcommittee on Digital Assets, which aims to create a legal framework for digital assets, ensuring consumer protection and promoting innovation.
Lummis previously proposed the BITCOIN Act, which aimed to allow the government to acquire one million Bitcoins. Although the bill was not passed by January 3, 2025, she may reintroduce it in the future, especially with support from a new crypto-friendly administration.
