TL;DR
Senator Lummis criticizes the U.S. Marshals Service for selling seized Bitcoin, claiming $18.5 billion in “unrealized losses.” This, however, overlooks the fact that the Bitcoin was sold at market price and the “losses” represent potential gains that were not realized.
Story
“Unrealized losses.” That’s a funny way of saying “missed opportunities,” isn’t it? Senator Lummis is pointing fingers at the U.S. Marshals Service for selling Bitcoin seized from the Silk Road, claiming they lost out on billions. It’s like blaming the grocery store for selling milk that later went on sale. They sold it at the market price at the time. It is not an actual loss, but rather, money they failed to earn. It’s like saying I “lost” a million dollars because I didn’t win the lottery. This whole situation reeks of hindsight bias—the “I knew it all along” phenomenon. It’s easy to say what should have been done after the fact, especially in the volatile world of cryptocurrency. Remember the dot-com bubble? People thought they were missing out if they didn’t buy every tech stock. Then, boom, the market crashed. Bitcoin, like any investment, is a gamble. Sometimes you win, sometimes you lose. The government isn’t immune to this. This isn’t a scandal; it’s a lesson in the unpredictable nature of markets.
Advice
Don’t fall for the “hindsight bias” trap. Investment decisions should be based on current information, not past “what ifs.” Market timing is difficult and often impossible, so avoid unnecessary risks based on speculation.