Pro-crypto Republican Senator Cynthia Lummis has swung into action to prevent a possible 70,000 BTC sale after a court notice sanctioned the asset dump.
In a letter to the United States Marshals Service, Lummis asked for insight into the agency’s stance on the proposed sale of almost 70,000 Bitcoin. She made the inquiry a week after a US federal court approved liquidating the Bitcoin seized in the Silk Road clampdown.
According to the letter, Lummis asked the US Marshals to answer specific questions, including why it intends to sell the bitcoins, when it will liquidate them, and its consideration of the incoming administration’s policies.
Bitcoin Sales Hurt Taxpayers: Lummis
Lummis, who proposed the bill to create a strategic Bitcoin reserve, noted that the US Marshals’ growing Bitcoin sales are concerning. She insisted that the agency’s handling of the BTC in its possession inflicts unavoidable losses on the American taxpayer.
Furthermore, the letter states that the federal prosecutor liquidated 195,092 BTC between 2014 and 2023 for $366.5 million. At the current market valuation, these assets would be worth $18.9 billion, a staggering 98% loss for the country.
Of the utmost priority is the recent ploy to sell another 69,370 BTC. Lummis argued that it is not a show of good sportsmanship to consider dumping the asset, considering President-elect Donald Trump’s publicly known plans to create a US Bitcoin reserve, building from its existing stash.
Trump Confirms US Bitcoin Stockpile Plans
Meanwhile, the letter came on the heels of growing confidence that Trump will create a national Bitcoin reserve. The Crypto Basic reported that the incoming pro-crypto president is receptive to the reserve plans and could pass an executive order in its regard upon resumption.
However, the report stated that Trump could take an America-first approach, allegedly favoring homegrown assets like Solana and XRP. Nonetheless, the US president’s friendly policies would benefit the global crypto industry.
Moreover, the Bitcoin Policy Institute has already drafted a bill that would require Trump and the Treasury Secretary’s approval to pull through. The proposal would require using the Treasury’s Exchange Stabilization Fund (ESF) to stockpile Bitcoin.
Lummis Warns the FDIC of Evidence-Tampering
Meanwhile, Senator Lummis also warned the Federal Deposit Insurance Corporation (FDIC) of tampering with evidence. In a parallel letter, the Republican advised the agency against jeopardizing evidence of Operation Chokepoint 2.0.
Lummis stated she got inside information that the agency is trying to jettison proof of its role in discouraging US banks from relating to crypto industries. The senator insisted that such a ploy was illegal and would attract severe consequences.
For context, recent reports indicted the FDIC for participating in Operation Chokepoint 2.0, a de-banking effort aimed at isolating digital asset firms from banking institutions.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
