U.S. Government Eyes Seizure of Venezuela’s Bitcoin & Crypto Reserves in 2026

Washington sharpens its financial claws—Venezuela's digital gold faces potential confiscation.

The New Frontier of Economic Warfare

Forget frozen bank accounts. The next battleground in international sanctions is the blockchain. Reports indicate the U.S. is exploring legal pathways to seize sovereign cryptocurrency holdings, targeting nations like Venezuela that have turned to digital assets to bypass traditional financial blockades.

How Do You Confiscate a Crypto Wallet?

It's not as simple as changing the locks. Seizing state-held crypto requires identifying wallet addresses, proving ownership, and navigating a maze of jurisdictional and technical hurdles. Experts point to precedent with private seizures, but scaling this to a national treasury is uncharted territory. The move would test the very principles of decentralized finance—can an asset be 'sovereign' if a foreign power can take it?

A Chilling Precedent for Nation-States

The implications ripple far beyond Caracas. Any country exploring crypto reserves—whether for diversification or sanction-proofing—is now on notice. The playbook for financial isolation is being rewritten in real-time, adding a layer of political risk that wasn't in the original white paper. It's the ultimate irony: using decentralized tech to execute a profoundly centralized power grab.

One cynical finance veteran quipped, 'Governments love volatility—they just prefer to be the ones causing it.' As 2026 unfolds, watch this space. The clash between cryptographic sovereignty and state power is no longer theoretical—it's being fought with private keys and subpoenas.

US President Donald TRUMP on Saturday announced the U.S. is “going to run” Venezuela until there is an opportunity for a “safe, proper and judicious transition,” after detaining Maduro on drug and weapons charges. Trump also said that U.S. oil companies will begin investing in Venezuela’s oil infrastructure. Venezuela has some of the world’s largest crude oil reserves. However, under Maduro, Venezuela has begun to embrace crypto. The President often shared his thoughts praising Bitcoin specifically, highlighting digital currencies’ global importance.

Furthermore, Hyperinflation, banking breakdowns, and sanctions have driven widespread use of stablecoins and peer-to-peer markets, which now function as essential financial infrastructure for civilians and, in limited cases, for state-linked trade. With the US jumping headfirst into the crypto industry on a government level last year under Trump, the country may decide to not just take Venezuela’s President and Oil, but its Bitcoin piling as well.

Currently, the U.S. government’s Bitcoin holdings are significant, estimated at over 325,000 BTC as of late 2025. These tokens come primarily from seizures, making it one of the largest governmental holders of BTC or any cryptocurrency. Should Venezuela’s BTC be seized by the US in its efforts to control the country, it could add to the growing stockpile of Bitcoin in the country.

Bitcoin on Monday rose above $94,000 after trading below $90,000 prior to news of Saturday’s operation. The world’s top cryptocurrency is already up 7% this year, after sliding 6% in 2025.