A new controversy has emerged regarding the U.S. Department of Justice (DOJ), which is accused of violating a strategic executive order by selling forfeited Bitcoin. This allegation centers on a transaction involving approximately 57.55 BTC, valued at around $6 million, that was reportedly liquidated in November 2025.
The claim gained traction on various social media platforms and crypto publications, asserting that the DOJ sold the forfeited Bitcoin instead of retaining it as mandated by President Donald Trump’s Executive Order 14233. This executive order purportedly directs that forfeited Bitcoin must be held in a U.S. Strategic Bitcoin Reserve. The Bitcoin in question was forfeited by the co-founders of Samourai Wallet, Keonne Rodriguez and William Lonergan Hill.
Origin of the Allegations
The accusations originated from multiple posts on X and were amplified by several crypto-focused publications. These posts referenced court documents related to the Samourai Wallet case, alleging that the sale of BTC contradicted the stipulations of Executive Order 14233.
As the narrative spread, Coinpedia conducted an investigation to determine the validity of these claims. Preliminary findings indicate that the sale of the Bitcoin was part of an officially sanctioned agreement.
Key Findings from Coinpedia’s Investigation
Court documents reveal that Rodriguez and Hill had entered into an Asset Liquidation Agreement with the government. Under this arrangement, the two voluntarily consented to the liquidation of Bitcoin valued at approximately $6.36 million. This agreement explicitly authorized the U.S. Marshals Service (USMS) to take the following actions:
– Transfer custody of the BTC
– Liquidate it immediately
– Convert the proceeds into U.S. dollars
Such processes are standard in federal forfeiture cases and were legally ratified before any sale occurred.
Coinpedia’s inquiry also highlighted the absence of on-chain proof indicating that the sale transpired after the executive order took effect. While reports suggest the BTC was sold on November 3, 2025, investigations found no public confirmation of a sell-off. On that date, the 57.55 BTC was transferred from a Samourai-linked address to a Coinbase Prime deposit wallet. The funds were subsequently transferred within Coinbase’s infrastructure, a typical custodial procedure that does not confirm an actual sale.
Furthermore, there is no evidence that Executive Order 14233 overrides court-ordered forfeitures, which are governed by judicial decisions rather than executive mandates. Judges have the authority to direct the liquidation of assets as part of sentencing or settlements, and the USMS operates based on these court orders.
Despite the circulating claims, there has been no official filing from the DOJ, court objection, or government statement suggesting that the sale violated any executive directives.
The summary of Coinpedia’s findings indicates a stark contrast to the claims circulating online:
– **Claim**: DOJ violated the Bitcoin reserve order
**Finding**: No proof of retroactive applicability
– **Claim**: USMS sold BTC illegally
**Finding**: The sale is authorized by a court-approved agreement
– **Claim**: The executive order blocked the liquidation
**Finding**: No such public restriction was stated
– **Claim**: Coinbase Prime sale confirms breach
**Finding**: No on-chain data confirms actual sales
Ultimately, Coinpedia’s review concludes that the allegations against the DOJ regarding the Strategic Bitcoin Reserve executive order are misleading and unsubstantiated. The sale of the forfeited Bitcoin associated with the Samourai Wallet case was conducted under a legally approved asset liquidation agreement, and no concrete evidence suggests a breach of any legal directives.
