US Govt. Formally Seizes ~70,000 Bitcoins from Silk Road
On Wednesday, December 20, a U.S. appeals court issued a mandate formalizing the forfeiture of 69,370 bitcoins and other cryptocurrencies linked to the now-defunct Silk Road dark web marketplace.
The initial judgment, dated August, has now been solidified, as confirmed by a filing in the U.S. District Court of Appeals for the Ninth Circuit on Wednesday.
US Govt. Can Now Control Silk Road Bitcoins
The court document lists Silk Road founder Ross Ulbricht as a defendant, along with two claimants and the U.S. government as the plaintiff. This finalization of the forfeiture follows the U.S. government’s control of the cryptocurrency, which was previously acquired from a mysterious figure known as “Individual X.”
This individual purportedly hacked into Silk Road, gaining control of its funds, as outlined in the original complaint. The completion of this legal process underscores the government’s authority over the seized digital assets connected to the notorious dark web marketplace.
Silk Road Founder Ross Ulbricht, currently serving a life sentence, established and managed the notorious online marketplace from 2011 to 2013. The platform also facilitated the illicit trade of drugs and weapons before being forcibly closed by the Federal Bureau of Investigation (FBI) upon Ulbricht’s arrest in late 2013.
Furthermore, in 2022, Ulbricht reached an agreement to allocate $3 billion worth of stolen bitcoin to settle debts with the U.S. government. As part of this arrangement, he also forfeited the rights to 69,470 Bitcoins.
Several days ago, a wallet address containing a substantial amount of Bitcoins, precisely 69,369, witnessed its first movement of funds since 2015.
Will US Govt. Hold or Sell the BTC?
Throughout the year, the US Govt. has been selling the Bitcoins recovered through the Silk Road route. Earlier this year in March, US officials sold nearly 10,000 Bitcoins while retaining 41,000+ BTC.
Considering that the Bitcoin price has moved up considerably by 100% since the beginning of 2023, the US govt. might think of holding them. Also, analysts are bullish over the spot Bitcoin ETF approval and the Bitcoin halving in 2024. Thus, they are already giving BTC price targets of $100K and more.
- Expert Says SUN Is Uptober’s Biggest Play as Justin Sun Pledges 100% Revenue on Buyback
- Breaking: Michael Saylor’s Strategy Adds 850 BTC As Bitcoin and MSTR Fall
- Breaking: China Orders Brokers to Halt Real-World Asset Business in Hong Kong
- Solana News: Nasdaq-listed Firm Announces S. Korea’s First SOL Treasury
- XRP Lawsuit No Longer to Blame for Price Flat Action, Lawyer Says as CEO Confirms Settlement Payment
- Bitcoin Price Prediction: $150K in Q4 as Gold’s ATH Momentum Sets the Tone
- PUMP Price Forecast: Whale Buys 1B Tokens as Bullish Pennant Signals 65% Breakout
- Bitcoin Price Prediction: Analyst Highlights Breakout Patterns as Coinbase CEO Backs Crypto Structure Bill
- Dogecoin Price Prediction: Grayscale ETF Move Aligns With Cycle Breakout
- Chainlink Price Prediction: Whales Scoop 2M LINK as Analysts Eye 184% Breakout Rally
- Shiba Inu (SHIB) Price Prediction: Massive SHIB Burn and 80-Week Cycle Mirroring Past Rallies: Will History Repeat?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
