Bitcoin critic Peter Schiff suggests MicroStrategy buy seized BTC assets by the U.S. government amid Donald Trump’s crypto promises.
The United States Supreme Court has declined to review a case involving the ownership of 69,370 Bitcoin, seized by the government from the Silk Road dark web marketplace. This decision grants the U.S. government full control over the $4.38 billion worth of Bitcoin, which had been claimed by Battle Born Investments.
The company argued it had purchased rights to the crypto through a bankruptcy estate but was unsuccessful in its challenge. The government now appears free to sell the Bitcoin assets.
Critic’s Reaction to Bitcoin Control
The Supreme Court’s decision has garnered attention from the community, as well as long-time Bitcoin critic, Peter Schiff. Schiff, known for his Bitcoin skepticism, commented that the U.S. government’s move was a rare instance of what he described as “smart” behavior.
Schiff suggested that MicroStrategy, a major corporate Bitcoin holder led by Michael Saylor, should consider borrowing $4.3 billion to buy the seized Bitcoin. The remark was a sarcastic dig at Saylor, part of his years-long campaign to ridicule the MicroStrategy chairman for his Bitcoin advocacy.
It looks like the U.S. government is getting ready to sell 69,370 #Bitcoin, worth about $4.3 billion at current market prices. Every once in a while, the government does something smart. I think @saylor should have $MSTR borrow another $4.3 billion and buy it. Who agrees with me?
— Peter Schiff (@PeterSchiff) October 8, 2024
Schiff, who remains vocal in his criticism of Bitcoin, highlighted that while the cryptocurrency has all six characteristics of sound money, it lacks what he believes to be the most important factor: intrinsic value. His statements continue to stir debate within the Bitcoin community, with his opinions often clashing with proponents of the digital asset.
Bitcoin Movements Amid Trump’s Promises
Interestingly, Schiff’s remarks come on the heels of a notable Bitcoin transfer by the U.S. government. Two months prior, the government moved 29,800 Bitcoin, worth $2 billion, to an unknown wallet. This transfer occurred shortly after former President Donald Trump made public promises during the Bitcoin 2024 conference.
Trump assured the audience that, if elected in November, the U.S. government would not sell any of its Bitcoin holdings. However, with the government already moving large portions of its Bitcoin, Schiff argued that Trump’s promises might become moot by the time he could potentially assume office.
As the government continues to manage its cryptocurrency holdings, Senator Cynthia Lummis has introduced legislation to make Bitcoin a strategic reserve asset for the United States. The proposal aims to acquire 5% of Bitcoin’s total supply and treat it as a treasury asset.
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