US Government Shifts $12.36M in ETH, USDC and USDT to Coinbase After Monday's BTC Move
The U.S. government moved $12.36 million in ether, USDC, and USDT out of a Bitfinex hack seizure wallet on Tuesday, July 14, sending the funds to Coinbase Prime and one unlabeled address, according to Arkham Intelligence data.
Six transactions were logged within a short window, all originating from a wallet labeled “U.S. Government: Bitf,” controlled by the Department of Justice and linked to funds seized from the 2016 Bitfinex hack. The largest transfer sent 5,939 ETH (worth $11.15 million) to Coinbase Prime. A second ETH transaction of $11.26 followed the same destination. USDT moved in a similar pattern: $296,710 to Coinbase Prime, paired with a $10 transaction to the same address.
USDC took a different path. The government sent $901,005 in USDC to an address beginning with 0x7D7C1C4c, which Arkham has not yet attached to a named entity. A $10 USDC transaction preceded it.
Each asset was moved twice: first a small test amount of $10 or $11, then the full sum. This pattern is standard for verifying the receiving address before committing a larger balance, as crypto transactions cannot be reversed.
Coinbase Prime is an institutional custody and trading platform. Deposits there typically precede a sale or a shift into custodial storage. The USDC transfer to an unlabeled address could indicate a transfer to another government custody account, a different exchange, or an intermediary wallet.
The U.S. government entity tracked by Arkham across 618 addresses holds roughly $21.22 billion in crypto, with Bitcoin accounting for about $20.91 billion (98.5% of the total). Tuesday’s $12.36 million transfer represents about 0.06% of total holdings, suggesting a routine or case-specific transfer rather than the start of a broader liquidation.
Beyond Bitcoin, the government’s holdings include $145.25 million in USDT, $48.42 million in wrapped BTC, $41.86 million in ether, and smaller positions in BNB, USDC, DAI, and wrapped ETH. The portfolio also includes 3,692 ZEC worth $2.03 million, along with smaller SHIB, GNO, and RLC balances. This mix reflects assets from multiple seizure cases rather than a single coordinated treasury.
Tuesday’s transfers provide a rare onchain look at how the government handles crypto seized in criminal cases, offering visibility that traditional asset forfeiture rarely provides.