Senator Cynthia Lummis has recently raised concerns over the planned liquidation of 69,370 Bitcoins tied to the Silk Road and the alleged destruction of material regarding the FDIC’s activities on digital assets. In a letter addressed to Ronald L. Davis, Director of the US Marshals Services (USMS), Lummis questioned the urgency and rationale behind the planned sale and highlighted its potential long-term financial and strategic implications for the US.
Lummis emphasized that these Bitcoins represent an opportunity to diversify America’s assets and create a financial foundation that will benefit future generations. The decision to hold or sell these assets could have far-reaching consequences, impacting the nation’s financial sovereignty and strategic position for decades to come. She also pointed out the historical losses incurred by taxpayers from previous Bitcoin sales conducted by the USMS, urging for more strategic asset management aligned with national interests.
The planned liquidation seems to contradict President-elect Donald Trump’s proposal to establish a “National Bitcoin Stockpile,” aiming to retain all Bitcoin held or acquired by the US government. Lummis criticized the DOJ’s justification for an expedited sale based on Bitcoin’s price volatility, stressing the importance of long-term strategic planning, especially during a presidential transition period.
In a separate letter to FDIC Chair Marty Gruenberg, Senator Lummis raised serious allegations about whistleblowers within the agency coming forward with claims of document destruction and staff intimidation related to the FDIC’s digital asset activities. She demanded an immediate cessation of all document destruction and retaliatory actions, emphasizing the preservation of materials related to the supervision and liquidation of crypto-related banks and communications with other federal and state agencies on digital asset policies.
Lummis specifically called for the preservation of all documents containing terms like “crypto, Bitcoin, Ethereum, and digital asset,” and provided guidance on protecting metadata and electronic information to prevent alteration or destruction. She warned that any confirmed efforts to obstruct oversight would result in criminal referrals to the Department of Justice.
Senator Lummis’ letters to US authorities highlight the importance of transparent and strategic management of public assets, especially in the growing digital asset space. The concerns raised by Lummis underscore the need for prudent decision-making and accountability in handling seized assets and overseeing digital asset activities within government agencies.