U.S. authorities reportedly seized 147,000 Bitcoin worth about $10B tied to cartel leader El Mencho, possibly largest BTC seizure.
Reports indicate that United States authorities have taken control of a large amount of Bitcoin linked to alleged cartel leader Nemesio Oseguera Cervantes, known as El Mencho.
The seizure reportedly occurred about one month after U.S. forces confirmed his death during an operation.
Estimates place the value of the seized digital assets near $10 billion, which equals about 147,000 Bitcoin at recent market prices.
Large Bitcoin Seizure Linked to Cartel Investigation
Law enforcement agencies reportedly identified digital wallets connected to El Mencho during ongoing investigations into cartel finances.
Authorities then gained control of the funds stored in those wallets. The digital assets were transferred to government-controlled storage.
Reports estimate the amount at about 147,000 BTC. At a Bitcoin price near $68,000, the value of the holdings reaches roughly $10 billion.
If verified, this would represent the largest single Bitcoin seizure by authorities.
🧵 THE WORLD'S MOST WANTED DRUG LORD STORED BILLIONS IN $BTC
NOW THE U.S. GOVERNMENT CONTROLS IT
Not cash. Not offshore bank accounts. Not gold bars.
Bitcoin.
Reports claim El Mencho kept a huge portion of his fortune in BTC.
One of the most hunted men in the world… pic.twitter.com/F2KADZvdoR
— WOLF Bitcoin (@WOLF_Bitcoin_) March 12, 2026
Previous high-profile seizures involved smaller amounts. The Silk Road investigation led to the seizure of Bitcoin valued near $3.36 billion.
Another case related to the Bitfinex exchange hack resulted in the recovery of about $3.6 billion in Bitcoin.
The reported seizure tied to El Mencho therefore exceeds those earlier cases in estimated value. Authorities have not publicly disclosed full operational details connected to the wallets.
Security Methods Used to Store the Bitcoin
Some reports claim the Bitcoin was stored using advanced security methods.
Sources stated that teams handled digital wallet management for the organization. These teams reportedly used cold storage systems to secure large holdings.
Cold wallets store digital assets offline. This approach reduces the risk of online theft or unauthorized access. Large holders often use this method to protect digital funds.
Unconfirmed reports also mention the use of multi signature wallets. Multi signature systems require more than one approval before funds move.
This adds another security layer for high value transactions. Investigators have not confirmed these technical details.
However, analysts note that such security practices are common among large digital asset holders.
Related Reading: $21M in Seized Bitcoin Returned After Authorities Freeze Transactions
Government Custody and Bitcoin Supply
The seized Bitcoin is now reported to be under the control of U.S. authorities.
In past cases, the government has often held confiscated Bitcoin for extended periods before selling it.
After the Silk Road investigation, authorities kept seized Bitcoin for several years.
Portions of those holdings were later sold through auctions. If the reported amount remains in government custody, about 147,000 Bitcoin could stay outside active market circulation. That quantity equals roughly 0.7 percent of Bitcoin’s total supply.
Government controlled wallets are usually monitored through public blockchain records.
These wallets often remain inactive until authorities announce auctions or other legal actions.
Law enforcement agencies have not yet confirmed the timeline for any potential sale.
Market observers continue to monitor blockchain activity linked to government controlled Bitcoin wallets.
