K33 Research reports that U.S. government-linked wallets transferred approximately 17,733 Bitcoins to Coinbase Prime in early October, including 12,267 Bitcoins related to the Bitfinex hack. This move reduced the marked government holdings from 324,527 Bitcoins to 306,795 Bitcoins. If suspicious but unmarked government wallets are included, the total transfer could be as high as 21,500 Bitcoins.

K33 believes that most of these transfers likely involve custodial arrangements rather than direct sales, as Coinbase Prime is a custodian for the U.S. Marshals Service, and Bitfinex-related assets are still in the claims process. However, about 1,200 Bitcoins related to the FTX and HashFlare cases could potentially be sold to fund cash compensation for victims.