U.S. Marshals Accused of Bitcoin Sale in Violation of Strategic Reserve Order

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Approximately $6.3 million worth of Bitcoin has reportedly been sold by the U.S. Marshals Service, which was claimed by the Samourai Wallet developers Keonne Rodriguez and William Lonergan Hill as a win.

This fact indicates that the sale was not in accordance with the presidential executive order which enforced a ban on the sale of the seized Bitcoin and ordered its addition to the countries’ Strategic Bitcoin Reserve.

As per an Asset Liquidation Agreement disclosed to Bitcoin Magazine, the defendants pled Guilty to the U.S. Department of Justice and agreed to surrender 57.55353033 BTC to the U.S. Marshals Service.

The digit asset was tracked by Blockchain data and was moved on November 3, 2025, from an individual wallet to a Coinbase Prime’s address. The address of Coinbase now shows zero balance indicating that the assets have been sold or transferred further.

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Executive Order 14233 explicitly prohibits sales of BTC acquired through the process of criminal or civil asset forfeitures as it categorizes such BTC as government BTC and hence, federal agencies are instructed not to sell or dispose of them, except in a few cases that do not appear to be applicable to this circumstance.

Under U.S. law, people found guilty of running unlicensed money-transmitting businesses have to forfeit any property associated with that offense. Still, some legal experts argue the law does not indicate that the seized Bitcoin has to be turned into cash, thus, it could be held instead.

On April 7, 2025, Todd Blanche, the U.S. Deputy Attorney General, issued a memo titled “Ending Regulation By Prosecution.” The document instructed the U.S. Department.

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The Story Sculptor
With a BA in Journalism and over 11 years of experience in Arabic and English media, I bring a newsroom mindset to the fast-paced world of crypto content. From breaking news to in-depth features, I’ve worked across leading platforms. Today, as a content writer in the Web3 space, I aim to make complex topics like blockchain, crypto, and digital innovation accessible to a wider audience, without compromising clarity or credibility.

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