The Expert Speaks: Is the US Really About to Sell $6.5 Billion in Bitcoin?

The possibility of the US government selling $6.5 billion worth of Bitcoin is not cause for panic, according to Asset Reality CEO Aidan Larkin. Speaking on the Empire Roundup podcast, Larkin reassured listeners that the sale would follow a rigorous process and leave little room for sudden market disruptions. The recent court approval to seize Bitcoin, many of which are linked to criminal cases such as the infamous Silk Road raid, is a routine step in the process. It doesn’t mean the government is ready to immediately divest itself of the digital asset. “There is a very strict process that needs to be followed,” Larkin said. He explained that the government must first complete a civil forfeiture application hearing. Once the green light is received, the assets will then go through the U.S. Marshals Service for liquidation. Larkin’s company, Asset Reality, specializes in managing seized assets for governments, which gives Larkin’s views significant weight. Related News: Once Everyone's Favorite: Here's What Developers Are Focusing On Most In The Forgotten Altcoin Group Once Bitcoin is available for sale, it is likely to be moved on-chain via Coinbase, a move that will be closely watched by the crypto community. However, Larkin cautioned against speculating on the timing of such sales, noting that any immediate market reaction is likely driven by investor sentiment rather than government action. “This is not about trying to time when the government is going to sell,” he said. “The selling pressure you’re seeing is more from people speculating and selling themselves.” Speculation that the US would create a Bitcoin strategic reserve, an idea floated by former President Donald Trump earlier this year, is unlikely to happen, according to Larkin, who noted the difficulties of using Bitcoin for such purposes, which is linked to criminal activity. Instead, co-host Jason Yanowitz proposed a more plausible scenario: The U.S. government could eventually buy Bitcoin mined on American soil for a potential reserve, which he argued would be a more sensible and ethical approach than using seized assets. *This is not investment advice. Continue Reading: The Expert Speaks: Is the US Really About to Sell $6.5 Billion in Bitcoin?