US Government Moves $606K Bitcoin to Coinbase Prime

TLDR

• The US government moved about $606,000 in Bitcoin linked to the 2016 Bitfinex hack to Coinbase Prime.
• Blockchain data shows the transfer came from a wallet controlled by federal authorities.
• Federal wallets currently hold 328,361 BTC valued at around $24 billion as of April 2026.
• Authorities seized approximately 94,636 BTC in 2022 after accessing encrypted files tied to Ilya Lichtenstein.
• A court ordered in-kind restitution in early 2025, requiring the return of recovered Bitcoin to Bitfinex.

The US government moved about $606,000 in Bitcoin linked to the 2016 Bitfinex hack to Coinbase Prime on Thursday. Blockchain records show the transfer came from federally controlled wallets. The movement follows earlier crypto-related transfers in March and April.

US Government and Bitcoin: $606K Transfer to Coinbase Prime

Blockchain data shows the US government shifted the Bitcoin to a Coinbase Prime address on Thursday. The funds trace back to assets seized in the Bitfinex hack case. Authorities executed the transfer through a known federal wallet.

Earlier, the government moved crypto assets on March 3 and April 10. Those transactions related to two separate enforcement actions. However, officials have not released further operational details about those transfers.

Federal wallets now hold 328,361 BTC as of April 2026. At current prices, those holdings carry an estimated value of about $24 billion. The recent transfer represents a small portion of that balance.

Bitfinex Hack Restitution and Token Plans

Hackers breached Bitfinex on August 2, 2016, and stole more than 119,000 Bitcoin. At that time, the haul carried a value near $72 million. At today’s price near $74,000 per coin, the same amount would equal about $8.9 billion.

Ilya Lichtenstein exploited a weakness in Bitfinex’s multi-signature wallet system. He later worked with his wife, Heather Morgan, to launder the stolen funds. They moved the assets through layered transactions over more than five years.

In February 2022, federal agents seized about 94,636 BTC from the couple. The FBI accessed encrypted files in Lichtenstein’s cloud storage. Those files contained a spreadsheet listing over 2,000 private keys.

Agents used those keys to gain control over most of the recovered Bitcoin. In November 2024, a court sentenced Lichtenstein to five years in prison. Morgan received an 18-month sentence for her role.

In early 2025, federal proceedings confirmed in-kind restitution of the seized assets to Bitfinex. The ruling requires the US government to return the recovered Bitcoin. Authorities continue to manage the assets pending final transfers.

Bitfinex outlined its recovery commitments in its whitepaper. The company said it will redeem all outstanding Recovery Right Tokens using returned funds. It also stated it will allocate at least 80% of remaining net proceeds to repurchase and burn UNUS, SED, and LEO tokens.

The latest on-chain transfer reflects ongoing asset management by federal authorities. Coinbase Prime received the $606,000 in Bitcoin from a government-controlled wallet. Federal wallets still hold 328,361 BTC valued near $24 billion as of April 2026.

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