United

Bitcoin

Stash

Gains

The US government’s strategic accumulation of <a href="https://coingape.com/price/bitcoin/" rel="noopener noreferrer nofollow">Bitcoin (BTC)</a> has resulted in a substantial increase in unrealized gains, with the value of its holdings now estimated at $14.4 billion. This collection, which has 210,392 BTC, makes the United States one of the largest Bitcoin holders worldwide. The head of CryptoQuant, Ki Young Ju, pointed out that several government sections, namely the Department of Justice and the Internal Revenue Service, have not traded any Bitcoin since July 2023, which results in their 2.4-times unrealized profits.
However, Arkham platform analysts have estimated the government’s Bitcoin stash at 215,245 BTC, which is approximately $14.8 billion. This wallet also holds other cryptocurrencies like <a href="https://coingape.com/these-firms-are-behind-frequent-ethereum-eth-price-dump/" rel="noopener noreferrer nofollow">Ethereum</a> (ETH), USD Coin (USDC), Dai (DAI), and <a href="https://coingape.com/tether-signs-mou-with-uzbekistan-boost-bitcoin-adoption/" rel="noopener noreferrer nofollow">Tether </a>(USDT), highlighting a diversified cryptocurrency portfolio and not only Bitcoin.
<h2 id="b-silk-road-and-bitfinex-bitcoin-moves-monitored-b">Silk Road and Bitfinex Bitcoin Moves Monitored</h2>
The public nature of the wallets of some governments with cryptos has raised worries in the crypto community about the market effect of large-scale disposals. All the capitalization of the world crypto market over $2.5 trillion could easily change. This condition has left the market participants in fear, closely watching the government’s movement regarding their cryptocurrency strategy.
In the past, the US has been very active in the transfer and sale of confiscated cryptocurrencies. The significant transactions are the transfer of Bitcoin that was taken from the Silk Road hacker to Coinbase in March 2023 and the sale of 9,861 Bitcoin in April. Additionally, in January, officials outlined plans to dispose of the property that was associated with the <a href="https://coingape.com/silk-road-fallout-us-wants-to-sell-130m-bitcoin-from-seizures/" rel="noopener noreferrer nofollow">Silk Road case</a>, including 2,934 Bitcoin. Among other things, in February, there was the transfer of the 15,085 BTC that had been seized after the <a href="https://coingape.com/bitfinex-hacker-now-us-government-witness-in-classic-plot-twist/" rel="noopener noreferrer nofollow">Bitfinex exchange hack</a>, thus manifesting the continued involvement of the government in the cryptocurrency sphere.
<h2 id="strong-investment-trends-and-market-characteristics-strong">Investment Trends and Market Characteristics</h2>
The broader financial market has seen a huge change in investment behavior as cryptocurrency funds and U.S equity funds have recorded massive in-flows. As per Bank of America strategists, based on EPFR Global data, March 13 week was a historic peak in asset allocations. The <a href="https://coingape.com/cryptocurrency-funds-hit-3-4b-inflow-alongside-us-stock-inflows/" rel="noopener noreferrer nofollow">US stock</a> funds had an unprecedented inflow of $56.1 billion for one week, which exceeded the record of $53 billion set back in 2021.
Technology funds were particularly favored, drawing an all-time high allocation of $22 billion. This influx is credited with driving an 8% rise in the <a href="https://coingape.com/bitcoins-maintains-lukewarm-performance-amid-sp-500-record-high/" rel="noopener noreferrer nofollow">S&amp;P 500</a> since the beginning of the year, showcasing the vital role of major tech companies like Nvidia, Meta, and Amazon.
Read Also: <a href="https://coingape.com/microstrategy-taps-8b-in-trading-volume-outstrips-amazon/" rel="noopener noreferrer nofollow">MicroStrategy Taps $8B In Trading Volume, Outstrips Amazon</a>
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The post <a href="https://coingape.com/us-government-210k-bitcoin-stash-hits-14-4b-in-unrealized-gains/" rel="noopener noreferrer nofollow">US Government 210K Bitcoin Stash Hits $14.4B in Unrealized Gains</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.

US Government 210K Bitcoin Stash Hits $14.4B in Unrealized Gains

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