Members of the U.S. government have firmly rebutted claims regarding the liquidation of bitcoin that was forfeited by the developers of Samourai Wallet, emphasizing that the liquidation would conflict with President Trump’s executive order that mandates the retention of government-held bitcoin.
In a statement made on January 16, Patrick Witt, Executive Director of the President’s Council of Advisors for Digital Assets and Deputy Director at the Department of War’s Office of Strategic Capital, indicated that the Department of Justice (DOJ) has confirmed that these forfeited digital assets “have not been liquidated and will not be liquidated” in accordance with Executive Order 14233.
Witt assured the public that the bitcoin in question would remain as part of the U.S. government’s balance sheet within the Strategic Bitcoin Reserve (SBR). “We have received confirmation from DOJ that the digital assets forfeited by Samourai Wallet have not been liquidated and will not be liquidated,” Witt stated. “They will remain on the USG balance sheet as part of the SBR.”
This clarification emerged in response to reports from Bitcoin Magazine earlier this month, which suggested that the U.S. Marshals Service (USMS), acting under the direction of the DOJ, had sold approximately 57.55 bitcoin—valued at around $6.3 million at the time—using Coinbase Prime in November 2025. The reporting referenced an “Asset Liquidation Agreement” and cited on-chain data indicating that the forfeited bitcoin had been moved directly to a Coinbase Prime address, which later displayed a zero balance. This information fueled speculation regarding the potential sale of these assets.
If the claims of liquidation were valid, it could have constituted a violation of Executive Order 14233, which explicitly states that bitcoin acquired through criminal or civil forfeiture “shall not be sold” and must instead be retained within the Strategic Bitcoin Reserve. The order was established to end the previous practice of liquidating seized bitcoin and formally designate bitcoin as a strategic reserve asset of the United States.
The Samourai Wallet case is under close scrutiny within Bitcoin and crypto policy circles, not only due to the forfeiture ramifications but also because of broader apprehensions surrounding ongoing prosecutions of developers of noncustodial software. The developers of Samourai Wallet, Keonne Rodriguez and William Lonergan Hill, pleaded guilty in 2025 to conspiracy charges related to operating an unlicensed money transmitting business—an accusation that critics argue fails to recognize the noncustodial nature of their software.
Concerns regarding potential inconsistencies between DOJ actions and guidance from the Trump administration have also surfaced. Notably, Deputy Attorney General Todd Blanche’s April 2025 memo called for an end to “regulation by prosecution” concerning noncustodial crypto tools, highlighting the tension within regulatory frameworks.
The administration’s confirmation that the Samourai bitcoin will remain intact and be allocated to the Strategic Bitcoin Reserve is likely to be viewed as a positive development for advocates of the bitcoin industry, reinforcing a commitment to the principles outlined in the executive order and the strategic importance of bitcoin in the nation’s financial landscape.
