According to the source, the U.S. Department of Justice is said to add 127,271 BTC from a major pig butchering scam, described as the largest crypto confiscation in U.S. history. Source: social media post; pending confirmation by the U.S. Department of Justice. Traders should wait for an official U.S. Department of Justice press release or court filing before repricing risk; primary confirmations and asset forfeiture notices are the authoritative references for U.S. government crypto seizures and liquidations. Source: U.S. Department of Justice. If confirmed, monitor three execution channels that historically precede supply events: (1) movements from U.S. government–tagged Bitcoin addresses, (2) sale or auction notices by the U.S. Marshals Service, and (3) court filings scheduling disposition of forfeited assets. These steps framed prior BTC liquidations tied to Silk Road assets. Source: U.S. Marshals Service; U.S. Department of Justice. In March 2023, the government sold 9,861 BTC from confiscated Silk Road holdings after a DOJ filing outlined a phased plan to liquidate tens of thousands of BTC through the year, demonstrating that sales are typically telegraphed and conducted in tranches rather than via market dumps. Source: U.S. Department of Justice filing in U.S. v. Zhong (March 2023) and DOJ asset forfeiture announcements. Trading takeaway: until a DOJ notice is published, prioritize confirmation risk over positioning; if a large government-held BTC balance is verified, watch for on-chain wallet alerts, U.S. Marshals sale procedures, and court-docket timelines to gauge potential sell-pressure windows and basis/funding reactions. Source: U.S. Department of Justice; U.S. Marshals Service.

According to Fox News, the U.S. Department of Justice (DOJ) has initiated a civil forfeiture action to seize over $225 million in Tether (USDT) tied to a sophisticated 'pig butchering' scam. The operation, which involved laundering funds through the crypto exchange OKX, is directly linked to the 2023 collapse of Heartland Tri-State Bank, as its former CEO embezzled $47.1 million and lost a significant portion to the scammers, according to the complaint. The DOJ report states that OKX provided key information to help trace the funds, which were moved through hundreds of intermediary wallets and accounts. For traders, this large-scale seizure highlights increasing regulatory and law enforcement capabilities in the crypto space. The seized USDT will likely be added to a U.S. government crypto stockpile, a factor that could influence long-term market supply and regulatory perspectives on stablecoins.