2026-01-06 09:25:01

The US Marshals Service (USMS) recently appears to have liquidated the Bitcoin from Samourai Wallet developer Keonne Rodriguez and William Lonergan Hill. The asset size is significant—worth $6.3 million—and is part of their plea agreement.

The issue is that this operation may have violated Executive Order No. 14233. The order clearly states that Bitcoin obtained through criminal or civil asset forfeiture procedures by the government should be included in the U.S. Strategic Bitcoin Reserve for long-term holding, rather than being liquidated directly.

Even more concerning is that if the Southern District of New York indeed violated this order, it would not be the first time this court has done so.

According to the details of the "Asset Liquidation Agreement" obtained by Bitcoin Magazine, the Bitcoin forfeited from Rodriguez and Hill is either about to be auctioned or has already been liquidated. The agreement shows that the two defendants agreed to transfer 57.5 Bitcoins to the US Marshals. As of the final signing of the agreement on November 3, 2025, the assets were valued at approximately $6.36 million.

The final destination of these Bitcoins remains uncertain.

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SnapshotBot

· 01-09 06:51

The US government's move is really clever. On one hand, they say they want to build strategic reserves, and on the other hand, they secretly sell them off. It's a classic case of "what I say doesn't count."

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MEVSandwichVictim

· 01-07 10:03

The US government's approach is just too obvious. What happened to the strategic reserves? Saying they'll sell 6.3 million USD and then just selling it—this is essentially a disguised way of cutting into retail investors.

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LiquidatedTwice

· 01-06 09:55

Coming again? The operation at the Bailiff's Office is really brilliant; they can ignore written administrative orders in black and white. Hmm... this 6.3 million USD just "disappeared"? How much does the Southern District Court want to oppose the President? 57.5 Bitcoins, just liquidated like that, the reserve fund missed out for nothing. These people really don't take the rules seriously.

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OnChain_Detective

· 01-06 09:54

wait wait wait... let me pull the data here. $6.3M in BTC just... liquidated? that's not how executive order 14233 works, folks. pattern analysis suggests SDNY is doing this *again*—flagged transactions show they've got a history of this exact move. ngl this screams institutional non-compliance. suspicious activity detected on the gov side for once lmao

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ColdWalletGuardian

· 01-06 09:39

Wait a minute, this operation is a bit outrageous... Are they just cashing out directly? --- 3.6 million USD just sold off like that? Something feels off --- Isn't No. 14233 written in black and white? How can they still do this --- Here we go again, the Southern District Court violating rules again and again? Who is in charge of whom? --- 57.5 BTC just disappeared like that... I just want to know whose wallet got fat --- This trick is really slick, cashing out under the guise of fines, brilliant --- Where are the Bitcoin from the strategic reserve? How can they be casually liquidated --- Promised long-term holding, is this just watering down?

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MEVVictimAlliance