Wallets thought to be associated with the U.S. government have moved a sizable portion of cryptocurrencies — specifically 3,940 bitcoins worth $241 million — onto Coinbase, according to on-chain sleuth Lookonchain. This comes just hours after the same pseudonymous researcher found evidence that the German government had moved 750 bitcoins.

It is not uncommon for governments to sell or auction off crypto collected through criminal investigations or other asset seizures. Billionaire bitcoiner Tim Draper, for instance, purchased nearly 30,000 bitcoins seized from the Silk Road darknet market by the U.S. Marshals Service in 2014.

Data provider Arkham Research traced the U.S. transaction and found the 3,940 bitcoins were originally seized from Indian national Banmeet Singh. In 2024, he …