US Court Approves Government Seizure of 69,370 BTC: Investors Panic
US court approves seizure of 69,370 Bitcoin from Silk Road, valued over $3 billion, setting a major asset forfeiture precedent.
The US Court of Appeals has approved the seizure of 69,370 Bitcoin, linked to Silk Road, a non-functional darknet market. This decision made official on December 20, 2023, is one of the largest asset forfeitures ever. The assets include Bitcoin and other cryptocurrencies like Bitcoin Cash and Bitcoin Gold. The US government, along with two other claimants, is set against Ross Ulbricht, Silk Road's founder ( the respondent).
The US Department of Justice (DOJ) initially seized these funds in 2020, which was valued at over $1 billion at that time. Since then, the DOJ has been working to fully own these assets, with significant activity over the last few years.
These Bitcoins are presently worth over $3 billion. There’s a high chance that the US government will sell these assets, as it has done before with other seized Bitcoins. The U.S. government sold 9,800 BTC for about $215.7 million earlier this year.
There's no fixed plan for this upcoming sale, but more than 45,000 BTC could be sold. This action is taking place despite Ross Ulbricht being in prison since 2013. This forfeiture highlights the government's strong control over digital currencies.
