US court approves 69K BTC freeze in Silk Road case
The United States Court of Appeals has ended the legal process to confiscate 69,370 bitcoins and other cryptocurrencies from the dark web market Silk Road.
According to a December 20 court filing, the US District Court of Appeals for the Ninth Circuit affirmed the transfer of Bitcoin to federal control. The move follows the government's decision to claim digital assets linked to Silk Road's illegal activities.
Bitcoin assets held include Bitcoin Gold (BTG), Bitcoin SV (BSV) and Bitcoin Cash (BCH) in addition to Bitcoin.
A US court issued its first ruling against Silk Road Bitcoin in August. The US Department of Justice in 2010 At that time, the value of bitcoins held was more than one billion dollars.
The first 2020 complaint alleges that the U.S. government holds the secret identity of a man called “Individual X.” He surrendered. This individual had infiltrated the Silk Road and controlled the money.
An earlier cover of Scientology identified the Silk Road hacker as James Zhong. Zhong, 32, was sentenced in April to one year in federal prison.
On July 12, a cryptocurrency wallet linked to the United States Department of Justice (DOJ) linked to Silk Road conducted several transactions, moving an estimated 9,825.25 Bitcoin.
Crypto analysts closely monitor the currency's movements, as market participants frequently speculate on the potential impact of a major US government sale on Bitcoin's price.
Related: IRS Lists Four Crypto Crimes Among Major Issues in 2023
Ross Ulbricht, who was sentenced to life in prison, founded and ran Silk Road from 2011 to 2013, a platform known for selling drugs and weapons. After Ulbricht's arrest in late 2013, the FBI shut down the site.
In the year In 2022, Ulbricht agreed to use $3 billion in stolen bitcoins to settle his debt to the US government. Additionally, he dropped his request for 69,470 bitcoins.
Magazine: $3.4B Bitcoin in a Popcorn Can: The Story of the Silk Road Hacker
