The United States could still claim another $2 billion worth of Bitcoin linked to the defunct LuBian mining pool, despite already announcing the largest crypto seizure in its history.

On October 15, blockchain investigator Sani reported that nearly 16,237 BTC, worth around $1.8 billion at current prices, remains in motion across addresses linked to LuBian.

These include:

bc1qvrwzs8unvu35kcred2z5ujjef36s5jgf3y6tp8: 13,107 BTC
bc1q42ltpxsc6s8fne0jz474tvuvyq2sqw26ud80xy: 2,129 BTC
bc1q4c9q0nva573jgs7vxu9hf0qyfqqtzy8awn77s0: 1,000 BTC

LuBian Potential Additional Bitcoin Holding (Source: Sani)

Notably, these wallets were not listed among the 25 addresses in the US forfeiture filings, which document about 127,000 BTC the government wants seized.

The discrepancy, however, doesn’t necessarily mean federal agents missed any funds. Some addresses may remain sealed under court order, while others could belong to intermediaries within the laundering network.

Still, these coin movements suggest that investigators have yet to fully map the network’s control structure.

Strategic Bitcoin reserve

If the US government recovers the additional 16,237 BTC and the seized 127,000 BTC, its total Bitcoin holdings would rise to about 343,000 BTC. That amount would represent roughly 1.6% of the asset’s total supply.

The holdings would position the US government as the undoubted largest nation-state holder of the top crypto.

Moreover, the stash would place the US just behind Michael Saylor-led Strategy (formerly MicroStrategy), whose corporate treasury holds about 640,000 BTC, or over 3% of Bitcoin’s total supply.

Meanwhile, the LuBian case also represents the first real test of the Strategic Bitcoin Reserve (SBR), a program created under President Donald Trump’s March 2025 executive order to manage seized digital assets.

Senator Cynthia Lummis said the seized Bitcoin shows that the US Congress must “pass clear digital asset market structure legislation to ensure law enforcement can act decisively against bad actors while protecting innovation.”

She added:

“Codifying how seized bitcoin is stored, returned to victims, and safeguarded for future generations. Turning criminal proceeds into assets that strengthen America’s Strategic Bitcoin Reserve shows how sound policy can turn wrongdoing into lasting national value.”

How LuBian collapsed

Once ranked among the world’s top six Bitcoin miners, LuBian controlled about 6% of global hash power through operations in China and Iran.

Its downfall came in late 2020 when a vulnerability in its key-generation algorithm allowed attackers to drain 127,426 BTC, then valued at $3.5 billion, from its wallets. Arkham Intelligence first reported this theft in August 2025.

Desperate to recover the funds, LuBian broadcast hundreds of on-chain messages pleading with the hacker to return the coins, offering a reward for their recovery.

Blockchain analysis firm Elliptic later estimated that the company spent over $40,000 sending those embedded pleas before disappearing from the network in early 2021.

On Oct. 14, US authorities unsealed an indictment that linked the stolen assets to a fraud network connected with the Prince Group, a Cambodian conglomerate led by Chen Zhi.

According to the authorities, Chen’s associates funneled proceeds from “pig-butchering” scams, which are massive online investment frauds, into crypto-mining operations like LuBian.

The post Bitcoin mining pool’s ‘missing’ $2B BTC may soon form America’s 340k BTC reserve appeared first on CryptoSlate.

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Filed under: Bitcoin - @ October 16, 2025 9:28 am