For real? This 5th Largest Crypto Wallet Is Believed To Be Under Government Control

<p>&nbsp;In the latest rumours, cyber security firm PeckShield came to the fore on X (Twitter), where the writing seemed to suggest that a large Bitcoin wallet, which is the fifth largest in the world and contains approximately 94,643 BTC, equal to approximately $2.46 billion, may be under the control of the United States government.</p><p><br /></p><p>These rumors are linked to an attack on Bitfinex that took place in 2016. PeckShieldAlert's findings show that the ownership of the wallet is linked to the seized address. Recent records show that on February 1, 2022, it had about 567.5 BTC, worth about $21.88 million, transferred from 1CGA4s wallet to this particular seizure address.</p><p><br /></p><p><br /></p><p>This incident is not the first. In 2022, PeckShield had previously reported that the United States Department of Justice (DOJ) had taken control of accounts related to the Bitfinex hack. The DOJ's action resulted in the seizure of an extraordinary $3.55 billion worth of Bitcoin, further demonstrating the extent of crypto's connection to the attack. At the time of the incident, the stolen Bitcoins were worth approximately $75 million.</p><p><br /></p><p>In a recent plea in court, a 35-year-old New York resident, Ilya “Dutch” Lichtenstein, admitted to orchestrating a cyber attack against Bitfinex in 2016. In a federal court in Washington, D.C., Lichtenstein pleaded guilty to money laundering from Bitcoin that was stolen and admitted his involvement in the robbery.</p><p><br /></p><p>With the revelation of details about the alleged role of the United States Government in managing large Bitcoin reserves, the importance of protecting digital assets has become more apparent, indirectly inviting new attention in improving defenses against cyber threats.</p>