The US government just organized its seized crypto for an exchange, and it had to take another step to get there.
Government-linked wallets moved about $288 million in seized bitcoin and ether to Coinbase Prime over about half a day on Monday, Arkham blockchain data shows. Ether went direct, while bitcoin was first routed through new intermediary wallets.
The moves come despite a March 2025 executive order from President Donald Trump, which designated the seized bitcoins for the country’s Strategic Bitcoin Reserve and said they should not be sold.
A government wallet linked to Ryan Farace, the “xanaxman” case, sent 2,875 BTC worth about $178 million to a new address, which forwarded the full 2,875 BTC to a Coinbase Prime deposit wallet minutes later.
A second wallet linked to the defunct BTC-e exchange sent 925,512 BTC worth $57 million via the same pattern, from the seizure address, directly to Coinbase Prime. Both intermediate wallets were emptied.
However, ether skipped the intermediate step. A wallet connected to Brian Krewson, the Oracle employee named in a $54 million laundering scheme, sent 30,007 ETH worth $53.09 million directly to a Coinbase Prime deposit address.
