A $2 billion transfer of Bitcoin seized by the U.S. government amid a cryptocurrency price decline sparked investor concerns of a potential sell-off just days after former U.S. President Donald Trump vowed to make the country a “Bitcoin superpower”.

21Shares, an issuer of crypto exchange-traded products, has integrated Chainlink’s Proof-of-Reserve (PoR) system into its Core Ethereum exchange-traded fund (ETF), a move aimed at enhancing transparency and trust in its physically-backed Ether ETF.

Two artists in the non-fungible token (NFT) world have filed a lawsuit against the U.S. Securities and Exchange Commission (SEC), seeking clarity on whether digital collectibles fall under the agency’s purview.

Top stories in the Crypto Roundup today:

• U.S. Government Moves $2 Billion of Bitcoin Seized from Silk Road
• 21Shares Leverages Chainlink for Ethereum ETF Proof-of-Reserves
• NFT Artists Sue SEC for Clarity on Whether NFTs are Securities

U.S. Government Moves $2 Billion of Bitcoin Seized from Silk Road

A $2 billion transfer of Bitcoin seized by the U.S. government amid a cryptocurrency price decline sparked investor concerns of a potential sell-off just days after former U.S. President Donald Trump vowed to make the country a “Bitcoin superpower”.

Data from blockchain analytics firm Arkham Intelligence has shown a government-linked wallet, tagged as “U.S. Government: Silk Road DOJ” moved 29,800 BTC to an unlabeled address with no prior transaction history. The address then moved 19,800 BTC and 10,000 BTC to two other different addresses.

While the destination of the larger transfers remains unclear, analysts suspect the smaller, $670 million portion may have been deposited with an institutional custodian, a precursor to potential sales.

Bitcoin lost around 3% of its value over the last 24-hour period after failing to surpass the $70,000 mark. Such  transactions have previously foreshadowed impending sales.

Before the transactions, the U.S. government held $12 billion worth of seized BTC. The timing of these transfers is notable, as it came shortly after Trump promised to create a “strategic national Bitcoin stockpile” if he returns to the White House.

21Shares Leverages Chainlink for Ethereum ETF Proof-of-Reserves

21Shares, an issuer of crypto exchange-traded products, has integrated Chainlink’s Proof-of-Reserve (PoR) system into its Core Ethereum exchange-traded fund (ETF), a move aimed at enhancing transparency and trust in its physically-backed Ether ETF.

By leveraging Chainlink's decentralized oracle network, the ETF will provide real-time data on its Ethereum reserves, accessible to the public through a verifiable feed directly from Coinbase.

This added layer of transparency is expected to further accelerate the adoption of digital assets, according to industry experts.

The integration comes on the heels of the historic approval of spot Ethereum ETFs in the United States, widely seen as a historic moment for cryptocurrency adoption, as it allows investors to gain exposure to ETH without managing a hot wallet.

NFT Artists Sue SEC for Clarity on Whether NFTs are Securities

Two artists in the non-fungible token (NFT) world have filed a lawsuit against the U.S. Securities and Exchange Commission (SEC), seeking clarity on whether digital collectibles fall under the agency’s purview.

Law professor Brian Frye and musician Jonathan Mann, known for his "Song a Day Mann" project, argue in the lawsuit that the SEC has overstepped its boundaries in recent enforcement actions targeting NFTs.

The complaint, filed Monday in federal court in Louisiana, accuses the SEC of a “campaign to assert jurisdiction over sales of digital art.” Frye and Mann, both of whom have NFT projects in development, are seeking a declaratory judgment that would definitively establish whether their work is subject to securities regulations.

The lawsuit comes on the heels of the SEC’s actions against Impact Theory and Stoner Cats 2 LLC, which the agency alleged sold unregistered securities in the form of NFTs. Both of these lawsuits ended in settlements.

Lawyers for Mann and Frye suggested that people buying tickets for Taylor Swift could anticipate making a profit, with Swift herself making promotional statements and releasing new music while promoting “aspects of her ecosystem.”

They then compared the SEC’s approach to the NFT sector to its approach to the music industry, and asked what it would look like if it “found that Taylor Swift songs or collectibles were securities” and “ordered them to be destroyed.” They added it “sounds farfetched. But that is exactly what has happened to Impact Theory and SC2.”

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