Did the US DOJ Sell $6 Million in Bitcoin Seized from Samourai Wallet Founders?

On January 5, various crypto news outlets reported that the US Department of Justice (DOJ), via the US Marshals Service (USMS), sold approximately 57.55 BTC that had been forfeited from the co-founders of Samourai Wallet, Keonne Rodriguez and William Lonergan Hill.

Key Takeaways

The US DOJ reportedly sold around 57.55 BTC seized from the co-founders of Samourai Wallet.
Concerns have been raised regarding the potential violation of Executive Order 14233, which directs retention of seized Bitcoin as part of the Strategic Bitcoin Reserve.
Analysis of blockchain data shows that while Bitcoin was moved to a Coinbase Prime wallet, there are no conclusive records indicating a sale took place.
The lack of on-chain evidence means that any claims regarding the liquidation of these assets remain unproven.

These reports suggested that the sale could potentially violate President Donald Trump’s Executive Order 14233, which mandates that federal agencies keep forfeited Bitcoin as part of the US Strategic Bitcoin Reserve. However, upon examining publicly accessible on-chain data, it's noted that while the Bitcoin was indeed transferred to Coinbase Prime for custody, there is no definitive evidence on the blockchain indicating that the Bitcoin was sold.

Insights into On-Chain Data

On November 3, 2025, about 57.553 BTC was transferred from a bech32 address linked to the Samourai forfeiture to a wallet identified as Coinbase Prime Deposit (3Lz5U). Shortly after this transfer, the funds were moved from the 3Lz5U address into another wallet labeled Coinbase Prime Deposit (1AaFQ).

This internal transfer process is a routine operation within Coinbase Prime and does not signify a sale in itself. The movement of BTC from one Coinbase Prime deposit address to another reflects a standard custody operation within the Coinbase infrastructure.

Further analysis reveals that this Bitcoin was included within the larger Coinbase Prime wallet cluster, which consists of numerous addresses used for custody, settlement, and internal record-keeping. The blockchain does not show any evidence of the Bitcoin being transferred out of the custody of Coinbase.

No Blockchain Evidence of a Bitcoin Sale by the DOJ

The blockchain does not support claims that the Bitcoin sold. A zero balance in the original Coinbase Prime deposit address does not indicate that the Bitcoin was sold; rather, it simply shows that the funds were swept, which is common for custodial platforms. It’s important to note that Bitcoin-to-USD conversions on Coinbase Prime happen off-chain, meaning the blockchain cannot display whether a sale took place or if any proceeds were credited to the USMS.

Assessing Compliance with Trump’s Executive Order

Executive Order 14233 places restrictions on selling “Government BTC” within the US Strategic Bitcoin Reserve. Whether the Bitcoin forfeited from the Samourai Wallet has been formally added to Reserve-designated Treasury accounts cannot be determined solely from blockchain data.

To establish any violation of this executive order, the following would need to be confirmed:

Documentation of Bitcoin transfer into reserve accounts.
Court authorization records concerning the disposal of seized assets.

Currently, none of this information is accessible through the blockchain.

In summary, while the Bitcoin forfeited from the Samourai Wallet was moved into custody at Coinbase Prime, the blockchain does not provide confirmation of any sale. Therefore, without additional off-chain documentation or legal records, accusations regarding a confirmed sale extend beyond what the on-chain data can validate. The issue of the DOJ's adherence to Executive Order 14233 remains reliant on documentation and governance processes.