Senator Cynthia Lummis sent letters to US authorities expressing concerns over plans to liquidate 69,370 Bitcoins (BTC) linked to the Silk Road and the alleged destruction of documents regarding the activities of the Federal Deposit Insurance Corporation ( FDIC) on digital assets.
In the letter addressed to Ronald L. Davis, director of the U.S. Marshals Services (USMS), Lummis questioned the urgency and justification of the planned sale and highlighted its potential long-term financial and strategic implications for the United States. United.
She added:
“These Bitcoins represent an opportunity to diversify U.S. assets and create a financial foundation that will benefit future generations. The decision to hold or sell these assets will have repercussions far beyond this administration, and could impact our country’s financial sovereignty and strategic position for decades to come.
Senator Lummis also claims that the USMS’s historic handling of similar Bitcoin sales has resulted in enormous losses for taxpayers. Between 2014 and 2023, the USMS reportedly sold 195,092 BTC for $366.5 million, a current value of $18.9 billion, or $18.5 billion in unrealized gains.
Strategic management
Senator Lummis’ letter concerns financial losses and aligning public asset management with national interests.
The planned liquidation appears to conflict with President-elect Donald Trump’s July 2024 proposal to establish a “national Bitcoin stockpile,” a policy to retain 100% of all Bitcoin owned or acquired by the U.S. government.
Citing recent court filings, Lummis criticized the Department of Justice (DOJ) justification for an accelerated sale based on Bitcoin price volatility. She stressed that such a rushed approach undermines long-term strategic planning, especially during a presidential transition.
Lummis’ concerns also extend to the lack of transparency and strategic foresight in the handling of seized BTC amounts.
FDIC Whistleblowers
Meanwhile, Lummis also sent another pointed letter to the President of the Federal Deposit Insurance Corporation (FDIC), Marty Gruenberg. The letter contained serious allegations that whistleblowers within the agency reported document destruction and intimidation of staff related to the FDIC’s digital asset activities.
According to Senator Lummis, whistleblowers alleged that the FDIC destroyed documents related to its digital asset operations while monitoring and threatening its employees to prevent them from sharing information with Congress.
She said:
“This is illegal and unacceptable. You must ensure that your personnel stop destroying all materials and immediately stop all retaliatory actions.
The letter details a wide range of records the FDIC must keep, from the supervision and liquidation of crypto-related banks like Signature Bank and Silvergate Bank to records of communications with other federal and state agencies on crypto policies. of digital assets.
Additionally, Senator Lummis explicitly called for the preservation of all documents containing terms such as “crypto, Bitcoin, Ethereum and digital asset.”
The directive also includes guidance on the protection of metadata and electronic information, emphasizing the need to prevent their alteration or destruction. Senator Lummis warned that any confirmed attempts to obstruct surveillance would result in criminal referrals to the Justice Department.
