U.S. government moves Shiba Inu related to major bankruptcy case

The U.S. government has moved roughly $235,500 worth of Shiba Inu (SHIB) seized from collapsed crypto exchange FTX and trading firm Alameda Research, on July 15, according to Arkham Intelligence data. The SHIB transfer of 54.895 billion tokens was the final move in a nearly day-long dispersal. Over the preceding 20 hours, the same government wallet sent out 209.18 ETH ($390,980), 0.533 Wrapped Bitcoin ($34,360), and smaller allocations of Compound ($21,120), Yearn Finance ($11,390), Numeraire ($39,890), Axie Infinity ($4,080), and iExec RLC ($40,720).  In total, the dispersal moved roughly $778,000 across at least eight fresh addresses. Related: With Sam-Bankman Fried facing life in jail, the crypto industry is ready to move on Test transactions signal a careful operation The on-chain data reveals methodical execution. Nearly every transfer was preceded by a roughly $10 test transaction in the same token. It is a standard precaution before moving funds to new addresses. U.S. Government moves multiple memecoins including Shiba Inu  Arkham The FTX dispersal wasn't the only action. Twenty-two hours earlier, a U.S. government wallet tied to the Bitfinex hack case sent 5,939 ETH, worth $11.15 million, to Coinbase Prime, the platform the U.S. Marshals Service selected in 2024 to custody and trade its large-cap digital assets. Trending on TheStreet Roundtable Cathie Wood's ARK issues bold prediction on U.S. digital dollar U.S. government moves $8.8M of Bitcoin that Trump said would never sell Analysts stunned by Robinhood's $3.1 billion debut week A $21 billion crypto treasury The moves are small changes against the government's total stack. Arkham pegs U.S. government crypto holdings at $21.4 billion across 618 tracked addresses. It is dominated by 324,552 Bitcoin worth $21.1 billion, plus $145 million in Tether, $48.7 million in Wrapped Bitcoin, and $42.8 million in Ethereum. The FTX-seized tokens trace back to Sam Bankman-Fried's 2022 collapse. A federal judge ordered him to forfeit $11 billion following his fraud conviction, with recovered assets directed toward victim compensation. The two were supposed to operate independently, but FTX secretly funneled billions in customer deposits to Alameda to cover its losses. Both collapsed in November 2022, and Bankman-Fried was convicted of fraud, receiving 25 years in prison. The tokens trace back to the 2022 collapse of Sam Bankman-Fried's empire. A federal judge ordered Bankman-Fried to forfeit $11 billion after his fraud conviction, with recovered funds directed toward victim compensation.  Related: FTX dumping its $1 billion of SOL won’t hurt the solana price