Did the U.S. Department of Justice illegally sell Bitcoin from Samourai developers? What is the truth?

January 6, 2026, Wyoming Republican Senator Cynthia Lummis (Cynthia Lummis) publicly questioned on social media: “Why is the US government still selling Bitcoin?”

Her criticism directly targets the asset disposition action taken by the U.S. Department of Justice (DOJ) on November 3, 2025.

On that day, the U.S. Department of Justice instructed the U.S. Marshals Service (USMS) to sell 57.55 Bitcoin seized from a plea agreement with the developer of Samourai Wallet via Coinbase Prime, valued at approximately $6.367 million at the time.

This sale is believed to potentially violate Executive Order No. 14233 signed during President Trump’s administration, which mandates that Bitcoin obtained through criminal forfeiture should be included in the “National Strategic Bitcoin Reserve” rather than sold on the market.

01 Event Background

A controversy surrounding privacy, regulation, and asset disposal is brewing in the US crypto regulatory sphere. The transaction exposed in early 2026 involves the Department of Justice, presidential executive orders, and a high-profile criminal case.

Key information quickly spread within the crypto community and political circles, with the relevant Bitcoin address balance dropping to zero, serving as direct evidence of the dispute.

The core of the event is a document titled “Executive Order No. 14233”. Signed by former President Trump, it explicitly states that Bitcoin obtained through criminal forfeiture should be retained as part of the US strategic Bitcoin reserve.

Its policy intent is to accumulate Bitcoin as a national strategic asset, not to sell it on the market.

The transaction occurred on November 3, 2025. According to Bitcoin Magazine, on that day, the DOJ directed the U.S. Marshals to transfer 57.553 BTC belonging to the Samourai Wallet developer to a custodial address at Coinbase Prime.

Blockchain data shows that this asset was subsequently integrated into Coinbase’s large custodial cluster, with the original deposit address balance dropping to zero.

02 Key Disputes

There are clear disagreements regarding this sale. Some believe on-chain data shows the assets were transferred and consolidated, with the original address cleared, strongly implying a sale.

Supporting this view are Bitcoin Magazine, which first reported the matter, and Senator Lummis, who later raised questions.

Others adopt a more cautious stance. BeInCrypto’s analysis points out that although Bitcoin was transferred into Coinbase Prime and underwent internal address consolidation (a standard operation for custodial platforms), the blockchain itself does not provide direct evidence that these Bitcoins were ultimately converted into fiat currency.

Funds did not flow into known settlement wallets of exchanges, nor was there typical fragmentation pattern of trade execution.

The key to determining whether this was a violation lies in whether these forfeited Bitcoins were “officially transferred” into the “strategic reserve” treasury account protected by the executive order. This cannot be known solely from blockchain data.

On-chain evidence such as court forfeiture orders, asset management records from the U.S. Marshals, or settlement documents from Coinbase Prime are needed.

03 Case Background

To understand this controversy, one must trace back to the origins of the Samourai Wallet case. This is a privacy-focused Bitcoin wallet whose core feature is CoinJoin mixing service, aimed at enhancing transaction anonymity.

In April 2024, the DOJ arrested its co-founders Keonne Rodriguez and William Lonergan Hill.

Prosecutors accused them of conspiring to launder money and operate an unlicensed remittance business, claiming their service facilitated over $2 billion in illegal transactions and provided laundering channels for over $100 million of criminal proceeds from dark web markets and hacking.

After more than a year of legal battles, the two founders unexpectedly changed their defense strategy in July 2025, pleading guilty to lesser charges of “unlicensed remittance business,” in exchange for the prosecution dropping more serious money laundering charges.

As part of the plea deal, they were required to pay a large forfeiture. On November 6, 2025, Rodriguez was sentenced to the maximum statutory term—five years in prison.

His lawyers specifically mentioned that Rodriguez had paid approximately $6.3 million worth of Bitcoin as forfeiture before sentencing, calling this “very rare.” This money is the source of the current dispute.

04 Timeline

This incident did not occur in isolation; it is closely linked to the broader US cryptocurrency policy environment. The following timeline clearly outlines the process from policy issuance to the emergence of questions.

timeline title Key Event Timeline section 2025 Trump signs executive order : Sign Executive Order No. 14233 requiring forfeited Bitcoin to be included in the national strategic reserve section Case Development July : Samourai developers plead guilty and agree to pay forfeited assets November 3 : DOJ instructs disposal of 57.55 BTC via Coinbase Prime November 6 : Developer Keonne Rodriguez sentenced to 5 years section 2026 January 5-6 : Media exposure of the event, Senator Lummis publicly questions it

05 Market Impact and Reactions

This incident occurs during a sensitive market and policy window, with impacts extending beyond the case itself. While discussions on US crypto legislation advanced in 2026, analysis suggests that final rules may be delayed until 2029.

A Goldman Sachs report states that regulatory clarity will be a key catalyst for institutional adoption of crypto assets.

From an enforcement perspective, the verdict in the Samourai case solidifies the DOJ’s “fund transfer” theory regarding cryptocurrency mixers. Although Samourai is a non-custodial wallet, the court considered its server’s coordination of mixing processes equivalent to fund transfer, thus subject to relevant regulations.

This sets an important precedent for future similar cases.

In response to the possible illegal sale, the crypto community and some politicians reacted strongly. Senator Lummis’s public questioning reflects legislative oversight of executive actions.

Some comment that if the Trump administration seriously supports crypto, it should strictly enforce Executive Order No. 14233 and cease prosecuting non-custodial developers like those involved in Samourai.

06 Market Correlation

As of January 6, 2026, despite this regulatory controversy, the overall crypto market still shows strong capital inflows. This aligns with long-term market expectations for regulatory clarity and the perception of Bitcoin as digital gold.

According to latest data, the US spot Bitcoin ETF continued its “hot start” since the new year, with total net inflows exceeding $1.16 billion in the first two trading days. This indicates that institutional and retail investors are still increasing their Bitcoin holdings through compliant channels.

On the Gate platform, Bitcoin prices are linked with other major exchanges. Market analysts note that Bitcoin’s technical pattern is improving, and the price trend “seems ready to restart.” Regulatory controversies often cause short-term volatility, but long-term prices are driven by macroeconomic factors, supply and demand, and broader adoption trends.

The 57.55 BTC involved, valued at current prices, is significant, but relative to Bitcoin’s daily on-chain transaction volume and ETF capital flows, its direct impact on market prices may be limited.

More importantly, it reveals a potential contradiction between government as a market participant and its regulatory and asset disposal roles.

Future Outlook

As of January 6, 2026, US spot Bitcoin ETF continues to record large net inflows, with the first two days surpassing $1.16 billion. Meanwhile, the address holding the forfeited Bitcoin from the Samourai Wallet developer has already been emptied.

On-chain transfer records cannot be deleted, just as this debate over privacy, regulation, and asset sovereignty has left a mark in the history of crypto development. When law enforcement actions conflict with high-level policy intentions, the final interpretation and market direction remain uncertain and sway on an unsteady balance.