The Department of Justice has provided clarity on the status of USD$6.37 million in Bitcoin associated with the founders of Samourai Wallet, following a wave of speculation regarding the government’s handling of the cryptocurrency. This development comes in light of ongoing inquiries about whether the seized assets had already been liquidated.
As part of their plea agreements, Samourai Wallet co-founders Keonne Rodriguez and William Lonergan Hill surrendered approximately 57.55 Bitcoin, which was valued around USD$6.37 million at the time of the confiscation. Both individuals admitted in August 2025 to conspiring to operate an unlicensed money transmitting business in a Manhattan federal court.
Prosecutors claimed that the defendants were behind a cryptocurrency mixing service designed to obscure transaction histories, processing over USD$200 million tied to various illegal activities. These activities reportedly included funds associated with darknet markets, cybercrime, and fraudulent schemes. The forfeiture of the Bitcoin falls under 18 U.S. Code 982, which pertains to rules governing criminal forfeiture linked to money laundering and unlicensed money transmission offenses.
Amidst the discussions, conflicting reports surfaced suggesting that the Bitcoin might have been moved or sold. Bitcoin Magazine referred to court records and blockchain tracking that indicated certain transfers, raising questions that contradicted a White House directive mandating that forfeited Bitcoin should remain within government custody.
In response, the United States Marshals Service denied any claims regarding the sale of the Bitcoin involved in this case. The agency confirmed it had not liquidated the assets referenced in media reports and expressed unawareness of how external parties had obtained contradictory information. Officials emphasized that any disposal of cryptocurrency must undergo several layers of internal approval.
Furthermore, an official from the President’s Council of Advisors for Digital Assets, Patrick Wit, provided an update indicating that the Justice Department had verified the Bitcoin remains secure and has not been liquidated or scheduled for liquidation. Wit mentioned that the government plans to retain the Bitcoin as part of its Strategic Bitcoin Reserve.
This reserve policy reflects a strategic shift from previous practices where seized digital assets were routinely auctioned off. In contrast, under current policies, the government aims to hold Bitcoin on its federal balance sheet. This pivot is indicative of a broader trend, with heightened scrutiny on how federal entities manage seized cryptocurrency assets.
The Justice Department’s reassurances come amid growing scrutiny of federal practices concerning cryptocurrencies. Over the past two years, the U.S. government has engaged in multiple Bitcoin seizures through various criminal and civil forfeiture actions. Notably, in 2024, the Federal Bureau of Investigation seized over 94,000 Bitcoin linked to the Bitfinex hack, which was associated with laundering activities involving stolen exchange funds.
The DOJ has also confiscated Bitcoin from darknet market operators related to drug trafficking and has seized cryptocurrency linked to tax evasion cases managed by the Internal Revenue Service Criminal Investigation division. Historically, most seized Bitcoin entered liquidation processes, contributing to the Treasury’s general asset forfeiture fund. However, recent policy adjustments underscore a notable interest in retaining Bitcoin over the long term.
