• A U.S. court has authorized the liquidation of 69,370 Bitcoin tied to the Silk Road, ending a four-year legal dispute.
• The DOJ’s approval to sell $6.5 billion in Bitcoin comes weeks before President-elect Trump, a vocal Bitcoin supporter, takes office.

The U.S. government has received final approval to liquidate the largest federal crypto seizure to date, marking the conclusion of a four-year legal battle over 69,370 Bitcoin linked to the defunct Silk Road marketplace. According to court documents filed on December 30, the assets, valued at $6.5 billion, were cleared for sale after Chief U.S. District Judge Richard Seeborg denied a motion to block their forfeiture.

This ruling follows earlier developments in October 2024, when reports indicated the government was preparing to sell the seized Bitcoin. The Department of Justice (DOJ) has already begun transferring portions of the cache. It moved nearly $2 billion worth of Bitcoin to Coinbase on December 3. This happened under a custody arrangement with Coinbase Prime through the U.S. Marshals Service.

While the court’s decision is pivotal, the liquidation process remains subject to federal asset forfeiture protocols. This involves multiple administrative steps and allows for potential appeals.

The Bitcoin, initially surrendered to authorities in 2020 by an unidentified figure known as “Individual X,” traces its origins to the Silk Road, a dark web marketplace dismantled by federal authorities in 2013. The DOJ faced various legal challenges over the seized assets, including claims from Battle Born Investments, which argued ownership rights through bankruptcy proceedings.

The liquidation approval comes less than two weeks before President-elect Donald Trump’s inauguration, adding a political dimension to the case. Trump has supported Bitcoin, urging holders not to sell and advocating for a strategic government Bitcoin reserve.

Editorial Note: This news article has been written with assistance from AI. Edited & fact-checked by Harshajit Sarmah.