Stock Markets January 28, 2026

U.S. Marshals Investigate Potential Breach of Government Cryptocurrency Accounts

Agency confirms probe is underway as on-chain reporting points to significant 2025 thefts that may include seized government funds

By Sofia Navarro
U.S. Marshals Investigate Potential Breach of Government Cryptocurrency Accounts

The U.S. Marshals Service is probing a potential hack of government-controlled digital-asset accounts, according to a report citing an agency email. Officials have said they will not provide further comment while the inquiry continues. The development follows industry data showing a surge in crypto-related thefts in 2025 and on-chain claims that more than $60 million was taken in late 2025, possibly including funds from government seizure wallets.

Key Points

  • The U.S. Marshals Service is investigating a possible hack of government-controlled digital-asset accounts, according to Bloomberg News citing an agency email.
  • The agency said it will not provide further comment while the inquiry is ongoing; it did not immediately respond to a Reuters request for comment.
  • Cryptocurrency hack volumes rose to $3.4 billion in 2025, and an on-chain investigator claimed more than $60 million was stolen in late 2025, including funds from government seizure wallets - prompting statements from a senior advisor on digital assets.

The U.S. Marshals Service has opened an investigation into a possible compromise of digital-asset accounts held by the federal government, Bloomberg News reported on Wednesday, citing an email from the agency.

According to the report, the Marshals Service indicated it would refrain from additional comment at this time because the matter remains under investigation. The agency did not immediately respond to a Reuters request for comment, the report added.

The U.S. Marshals Service has a defined role in managing certain cryptocurrencies in federal cases - overseeing, securing and selling digital assets that have been seized or forfeited. Custody and the disposal of such assets form part of its support for law-enforcement operations.

This announcement comes against a backdrop of elevated cryptocurrency thefts in 2025. Blockchain analysis firm Chainalysis reported that hack volumes climbed to $3.4 billion in 2025, a figure cited in the reporting around the Marshals Service probe.

Separately, on Monday Patrick Witt, executive director of the President's Council of Advisors for Digital Assets, wrote on X that he was "on it" in response to a post by on-chain investigator ZachXBT. The investigator had posted that a hacker had stolen more than $60 million in late 2025, and that the takings included funds drawn from government seizure wallets, the report said.

At present, details available publicly are limited to the statements noted above. The Marshals Service's stated decision to limit comment while the investigation continues means that the precise scope and potential impact of any unauthorized access to government-held digital assets remain unconfirmed.


Context and immediate implications

As reported, the probe centers on accounts the federal government uses to hold cryptocurrencies involved in law-enforcement proceedings. The combination of an uptick in total crypto hack volumes for 2025 and the on-chain investigator's claim regarding late-2025 thefts has increased scrutiny on custody practices and asset controls tied to government seizure wallets.

With official statements limited, observers and stakeholders must rely on the available public reporting and on-chain indicators while the Marshals Service continues its investigation.

Risks

  • Unconfirmed scope and impact - the Marshals Service has limited public comment while the investigation is active, leaving key details about affected assets and amounts unresolved (impacts government custody operations and law-enforcement asset disposal).
  • Broader sector vulnerability - elevated crypto hack volumes in 2025 highlight ongoing cybersecurity risks for digital-asset custodians and related market participants (impacts cryptocurrency platforms and blockchain service providers).

More from Stock Markets

Indian equities rally after U.S. agrees tariff reductions in trade accord Feb 2, 2026 SiTime Nears Acquisition of Renesas Timing Business in Potential $3 Billion Deal Feb 2, 2026 Tesla Debuts New All-Wheel Drive Model Y Trim in U.S.; Premium Option Also Launched Feb 2, 2026 Eastroc Beverage Shares Start Trading in Hong Kong at Offer Price After $1.3 Billion IPO Feb 2, 2026 SoftBank unit and Intel to jointly develop 'Z-Angle' memory technology Feb 2, 2026