TLDR
- Arkham Intelligence confirmed that the US Government still holds $24 billion worth of Bitcoin.
- The report disproved earlier claims that 85 percent of US Bitcoin holdings had been sold.
- The US Government holds at least 198,000 BTC across multiple agencies including the FBI and DOJ.
- None of the identified Bitcoin wallets have moved any assets in the past four months.
- Market fears have resurfaced due to the possibility of a large government sell-off.
New data from blockchain analytics firm Arkham Intelligence confirms the US Government still holds $24 billion worth of Bitcoin. This contradicts earlier reports that claimed 85% of the US Bitcoin holdings had been liquidated. The updated figures indicate the government’s crypto portfolio remains untouched mainly raising fresh concerns over market stability.
US Bitcoin Holdings Remain Intact Despite Previous Reports
Arkham Intelligence identified at least 198,000 BTC spread across multiple US Government-controlled addresses. These include wallets under the control of the FBI, DOJ, DEA, and US Attorney’s Offices. The assets have not moved in the last four months, confirming long-term custody.
THE US GOVERNMENT HOLDS $24B BTC
THE UK GOVERNMENT HOLDS $7B BTC
BHUTAN HOLDS $1.3B BTC
THE GOVERNMENTS ARE HERE pic.twitter.com/RELpDvJZTx
— Arkham (@arkham) July 23, 2025
Initial reports suggested a dramatic sell-off that reduced US Bitcoin holdings to just 29,000 BTC. These claims led to strong reactions from lawmakers and crypto market participants. However, Arkham’s detailed on-chain analysis has now corrected that assumption.
The firm attributed the misreporting to an incomplete accounting of government agencies holding seized digital assets. The analysis highlighted decentralized asset control within US federal bodies. As a result, earlier assessments significantly underestimated total US Bitcoin holdings.
Market Impact Concerns Reignite Following Portfolio Clarification
Although Arkham’s confirmation provided clarity, it also triggered new concerns about potential future market volatility. A government sale of such a large Bitcoin reserve could create strong downward pressure on the asset’s price. The possibility of liquidation by multiple agencies further amplifies uncertainty.
Previously, the market showed strength even amid rumors of an 85% sell-off. Bitcoin remained stable despite the speculation, which was interpreted as a bullish signal. Now, the reality of intact US Bitcoin holdings suggests any sudden move could cause greater disruption.
Analysts believe that selling large quantities of Bitcoin from the federal portfolio would shake investor sentiment. As confidence in long-term holdings erodes, speculative fears around timing and execution of sales grow. With 198,000 BTC held, any sale could influence both market trends and sentiment.
Government strategy toward managing its digital reserves may evolve depending on legislative outcomes. This puts additional focus on the upcoming policy reports due later this month. Whether the US adopts a long-term hold strategy or liquidates portions remains a key market variable.
Crypto Working Group Report May Define Strategic Direction
The crypto community is now watching the release of the 180-day report from Trump’s digital assets task force on July 30. This report is expected to address the legal and fiscal treatment of US Bitcoin holdings. The inclusion of strategic reserve policies may guide future government actions.
The report may also evaluate the use of seized Bitcoin as a foundation for a federal crypto reserve. Analysts expect proposals that avoid using new taxpayer funds. Instead, focus may shift toward formalizing control over already-seized assets.
The report will likely reference the GENIUS and CLARITY Acts and explore frameworks for token classification and taxation. Experts suggest stablecoin regulation and international cooperation could also form part of the framework. However, retail CBDCs appear unlikely given ongoing privacy and public trust issues.
