U.S. Government Moves 54,897,092,652 Shiba Inu Seized From FTX

The U.S. government has transferred nearly $250,000 worth of Shiba Inu tokens seized from the collapsed cryptocurrency exchange FTX. 

The transactions, first flagged by blockchain analytics platform Arkham Intelligence, have sparked speculation that the assets are being repositioned as part of the ongoing FTX bankruptcy recovery process.

U.S. Government Transfers Nearly 55 Billion SHIB

According to Arkham Intelligence, the U.S. government executed the Shiba Inu transfers in two separate transactions.

The first and largest transfer moved 54.89 billion SHIB, valued at approximately $235,500, to an unlabeled wallet address. Authorities then sent an additional 2.32 million SHIB to the same destination wallet. Overall, the government moved a total of 54,897,092,652 (54.89 billion) SHIB tokens. 

On-chain data shows that the original U.S. government wallet no longer holds any SHIB after the transfers. Meanwhile, the receiving wallet now contains 54.89 billion SHIB, with SHIB representing the wallet’s only asset. 

The SHIB transfers were not the only transactions recorded by Arkham Intelligence. Blockchain data also shows that the U.S. government transferred $19.62 million in USDT to Coinbase, alongside roughly $9.3 million worth of ETH sent to the same exchange. 

Seized Assets Expected to Support FTX Creditor Repayments

The transferred SHIB originated from assets the U.S. government seized from FTX and Alameda Research after the exchange collapsed in November 2022.

Arkham Intelligence indicated that the tokens will presumably help fund repayments to creditors affected by the FTX bankruptcy. However, creditors are unlikely to receive SHIB or other cryptocurrencies directly.

Instead, the FTX bankruptcy estate has consistently liquidated recovered digital assets and distributed the proceeds in cash. As a result, creditors receive U.S. dollar payments based on cryptocurrency prices at the time FTX filed for bankruptcy in November 2022, rather than at current market values.

FTX Repayment Program Nears $9.5 Billion

The latest government wallet activity comes as FTX continues to make substantial repayments to creditors. On March 31, 2026, the bankruptcy estate completed its fourth distribution round, paying $2.2 billion to eligible creditors. That payment increased the total amount distributed to around $9.5 billion.

According to the estate, most U.S. customers and general unsecured creditors have now recovered 100% of their approved claims, while convenience class claimants have received payouts of up to 120%.

The March distribution followed three earlier repayment rounds completed in February, May, and September 2025. Meanwhile, FTX also began processing payments to preferred equity shareholders in late May 2026, marking another milestone in the bankruptcy proceedings.