Latest / Simply Bitcoin / Did the FBI & DOJ Hack Bitcoin Wallets to Build a Strategic Reserve? | Simply Originals

Transcript

Did the FBI & DOJ Hack Bitcoin Wallets to Build a Strategic Reserve? | Simply Originals · Simply Bitcoin

• 0:00
  15 billion. That's how much Bitcoin the US
• 0:03
  government just sees Or maybe hacked one of the biggest
• 0:08
  financial operations in history. And it might not be what it
• 0:12
  seems. The DOJ says it took down a
• 0:14
  global criminal network, forced labor, money laundering, the
• 0:18
  whole 9 yards. But on chain data suggests
• 0:22
  something far crazier than the US government.
• 0:24
  Just hack wallets to build the Bitcoin reserve.
• 0:28
  Welcome back and buckle up, because this one's going to be
• 0:31
  wild. But this fast, this afternoon,
• 0:40
  I'm laying out my plan to ensure that the United States will be
• 0:44
  the crypto capital of the planet and the Bitcoin superpower of
• 0:49
  the world. And we'll get it done.
• 0:54
  If crypto is going to define the future, I want to be mined,
• 0:59
  minted and made in the USA. It's going to be it's not going
• 1:03
  to be made anywhere else. And if Bitcoin is going to the
• 1:07
  moon, as we say, it's going to the moon, I want America to be
• 1:11
  the nation that leads the way. And that's what's going to
• 1:14
  happen. No, you're going to be very
• 1:16
  happy with me. You're going to be so happy.
• 1:20
  Let's start with the official story.
• 1:23
  The DOJ and FBI announced the largest Bitcoin seizure in
• 1:26
  history 127,271 BTC worth roughly 15 billion.
• 1:33
  They tied it to Chen ZA Cambodian national running pig
• 1:36
  butchering scams and forced labor compounds under Prince
• 1:41
  Group. The press release sounds heroic.
• 1:43
  The FBI swoops in rescues victims, freezes billions in
• 1:47
  Bitcoin right. Even News Nation ran with it
• 1:49
  cash. Patel tweeted this FBI took down
• 1:53
  their empire. But here's where things start to
• 1:55
  get a little spicy. Zach XBT, one of the top on
• 1:58
  chain investigators, noticed the wallet in the DOG filing were
• 2:03
  the same wallets flagged 2 years ago in a Milky SAD report for
• 2:06
  weak private keys, meaning that anyone with the basic technical
• 2:10
  know how could have broken into them.
• 2:12
  Now. These wallets weren't just any
• 2:14
  wallets, they were known to be vulnerable.
• 2:17
  The derivation path used the same 490000 pattern across
• 2:22
  multiple addresses. That's like leaving your house
• 2:24
  key under the mat and posting the address on X.
• 2:27
  Zach pointed out that these exact wallets were inactive
• 2:29
  since 2020. Tied to a mining pool hack, not
• 2:32
  this Cambodian crime ring. So either the DOJ stumbled upon
• 2:37
  the same wallets by coincidence, or the government's cyber unit
• 2:41
  hacked them first. If that's true, the implications
• 2:44
  are huge. the US may now be engaging in offensive Bitcoin
• 2:47
  operations, literally hacking criminal wallets to fill its
• 2:51
  strategic reserve. And guess what?
• 2:53
  The reserve already allegedly holds over 325,000 BTC, second
• 2:58
  only to Satoshi himself. Here's where the plot thickens.
• 3:02
  Under the strategic Bitcoin Reserve executive order, the
• 3:05
  government can't sell Bitcoin unless three conditions are met
• 3:09
  A treasury approval, B court requirement, or C restitution to
• 3:13
  victims. So if these coins were hacked
• 3:16
  from unclaimed or criminal sources, the US can keep them
• 3:19
  permanently. That means this 127,000 BTC hall
• 3:25
  could go straight into the SBR vault.
• 3:27
  Critics are calling foul, and rightfully so.
• 3:30
  Civil asset forfeiture laws make it your job to prove you deserve
• 3:34
  your money back, and historically less than 3% of
• 3:38
  seized assets ever returned to victims.
• 3:41
  So yeah, justice system or state sponsored Bitcoin stacking, You
• 3:45
  decide. Enter Senator Cynthia Lummus,
• 3:48
  the hodler and heels she's now pushing 2 urgent priorities 1
• 3:53
  codify how seized Bitcoin strengthens America's strategic
• 3:56
  reserve to pass digital asset market structure legislation.
• 4:00
  She literally said and I quote, given its scarcity, we can also
• 4:04
  use it in 20 plus years to retire a meaningful percentage
• 4:09
  of U.S. debt. That's not just bullish, that's
• 4:12
  biblical. And you know what's even
• 4:13
  crazier? Her post came hours after Elon
• 4:17
  Musk dropped his energy based Bitcoin thesis.
• 4:20
  That's right, ladies and gentlemen, he's back and we're
• 4:23
  about to bring it home today. But before we do, look at our
• 4:26
  likes 3 or 4 times. Maybe I'll pump those numbers
• 4:29
  up. Those are rookie numbers in this
• 4:30
  racket. Let's take a quick second for
• 4:32
  our sponsors who keep this show on the air over at the Bitcoin
• 4:35
  Way. If your wealth lives in their
• 4:37
  system, it's not yours, it's theirs.
• 4:39
  That's why we scream Bitcoin. That's why you self custody and
• 4:43
  that's why you call our friends over at the Bitcoin Way.
• 4:45
  They'll walk you through multi sig self custody, privacy, how
• 4:48
  to run a node and the tools that keep you sovereign when the Fiat
• 4:51
  system pulls the plug. Don't wait till, well, it's too
• 4:53
  late. Book a free 30 minute console
• 4:55
  today using that link in the show notes.
• 4:57
  Need cash but don't want to sell your Bitcoin?
• 5:00
  Leaden is the global leader in Bitcoin back loans, issuing over
• 5:04
  9 billion in loans since 2018 and they were the first to offer
• 5:07
  proof of reserves. With Leaden you get custody
• 5:10
  loans, no credit checks, no monthly payments and more.
• 5:13
  Visit learn dot leaden dot IO slash simply to learn more and
• 5:17
  get 25 basis points off your first loan.
• 5:20
  You get taxed on what you earn, you get taxed on what you buy
• 5:23
  and you get taxed on what you own.
• 5:26
  Taxes, taxes, taxes, you know, and then what does it get spent
• 5:29
  on? A bunch of the stuff it gets
• 5:31
  spent on you don't even agree with.
• 5:32
  So you know that that's why we we need to, we need to reduce
• 5:36
  the size of government and just spend less money and let the
• 5:40
  people keep a lot more of their hard earned money.
• 5:43
  Yeah. So Elon Musk replied to Zero
• 5:46
  Hedge saying that is why Bitcoin is based on energy.
• 5:49
  You can issue fake Fiat currency, but you can't fake
• 5:53
  energy. Pierre Faragu, a top Wall Street
• 5:56
  analyst, called it the first compelling argument for Bitcoin
• 5:59
  he's ever heard. People have literally said the
• 6:02
  exact same shit for years. But hey, better late than never.
• 6:05
  And Michael Saylor jumped in. The laws of nature are superior
• 6:09
  to the laws of man and Marty Bent hit us with the numbers.
• 6:12
  The network now runs at 1.06. Zeta hashes second.
• 6:16
  That's more than one sextillion hashes per second.
• 6:19
  Every miner, every what? Every set.
• 6:22
  Proof of energy, proof of work, proof of truth.
• 6:25
  And if that wasn't enough bullish news, Republicans just
• 6:28
  dropped a new bill to allow Bitcoin and crypto in four O 1
• 6:31
  KS. Under federal law, Americans
• 6:34
  hold over 9 trillion in retirement accounts.
• 6:37
  Imagine even 1% of that flowing into Bitcoin.
• 6:40
  You're talking 90 billion of new buy pressure.
• 6:43
  Pair that with the Fed ending balance sheet reduction and you
• 6:47
  get the perfect storm. The same Fed that shrank its
• 6:49
  balance sheet while Bitcoin ran from 16 K to 126 K is now about
• 6:55
  to reverse course. So ask yourself, what happens
• 6:57
  next? Let us know what you think
• 6:59
  below. So let's recap. the US
• 7:01
  government just seized 127,000 Bitcoin, possibly by hack, maybe
• 7:06
  by design. Senator Lummus is codifying the
• 7:09
  strategic Bitcoin reserve. Elon is back preaching energy
• 7:12
  backed money and 401K money is about to go orange.
• 7:16
  If this is what October looks like, you better believe the
• 7:19
  rest of 2025 is going to be absolutely wild.
• 7:21
  And so is mining Disrupt 2025. Get those tickets to mining
• 7:26
  Disrupt 2025. See the future of Bitcoin mining
• 7:29
  up close in Dallas, TX November 11th through the 13th.
• 7:33
  The biggest names in the industry, cutting edge rigs,
• 7:35
  Bitcoin and AI integration. The signal you won't get
• 7:39
  anywhere else Grab your tickets today and use promo code simply
• 7:42
  Bitcoin for 20% off and we'll see you there And don't forget
• 7:48
  to like subscribe and give us a pant by sharing the sound money
• 7:51
  gospel. Set those notifications for the
• 7:53
  best in Bitcoin news deliver to you daily.
• 7:55
  Follow us on X and Rumble and my friends tomorrow we have a
• 7:59
  doozy. I don't know if you know this or
• 8:01
  not, but $4200 gold isn't an investment decision.
• 8:06
  It's a currency crisis warning. Central banks don't rush to gold
• 8:09
  because they think it goes up. They rush to gold because they
• 8:12
  know their currency is going down.
• 8:14
  And if central banks are scared, you should be terrified and
• 8:17
  incredibly bullish. Hey love you guys.
• 8:20
  Catch you tomorrow if you prefer to go down with the ship.