According to a report by Russian TV Today on December 21, the US government has been seizing and auctioning cryptocurrencies for many years. This process is accelerating, so it seeks help from the private sector to manage the storage and sale of tokens. According to Jarod Koopman, head of the Cybercrime Division of the IRS, the US government has acquired a record amount of cryptocurrency in recent years. Koopman earlier stated, “In fiscal year 2019, we seized approximately US$700,000 worth of cryptocurrency. By 2020, this number will reach US$137 million. By August 2021, our revenue was US$1.2 billion. “
Experts said that with the rapid growth of cybercrime, the U.S. government’s crypto vault is expected to expand further. The U.S. Marshals Service is the main agency responsible for the auction of government encrypted assets. To date, more than 185,000 Bitcoins worth approximately US$8.6 billion have been seized and auctioned.
Proceeds from cryptocurrency sales are usually deposited into the Ministry of Finance Forfeiture Fund or the Ministry of Justice Asset Forfeiture Fund. After putting it into one of these two funds, the cleared cryptocurrency can be used for various projects.
According to Koopman, the cryptocurrencies tracked and seized by his team accounted for approximately 60% to 70% of the Treasury’s forfeiture funds, making it the largest individual contributor. A spokesperson for the U.S. Department of Justice said he was “very certain” that there was no central database on cryptocurrency seizures.