Bitcoin Forum

So FBI "seized" BTC from SR.  And by "seized" they had to get their own address and then do a correct signed transaction to send btc to that address.  Oh and DPR supposedly has 600k more coins.  They are fully visible but can't be seized.  It must feel odd not to be able to just take.  It's likely FUD but still I wonder how long till governments just say fuck it and simply outlaw bitcoins. 

Nice at least a few more years then.

How come the FBI can't get the cash??  ::)

http://static02.mediaite.com/geekosystem/uploads/2012/07/security.png

Oh and DPR supposedly has 600k more coins.  They are fully visible but can't be seized.

This is news to me. They are fully visible? Any source of that information?

Afaik the amount in his private pockets isn't known, only estimated (and most likely way less than 600k).

A great article by Wired on how the FBI might deal (or not deal) with their seized bitcoins:

http://www.wired.com/wiredenterprise/2013/10/silk-road-bust/

Very interesting problem for them: bitcoin has already been legally declared a form of currency, but they have no government-sanctioned method of dealing with bitcoin currency.  I'm guessing it either gets sold at auction or they tear up the private key.

Yes, page 15 mentions 614,305 BTC in commissions.



Of course it's less, DPR had some expenses to cover after all, and some of those were paid when BTC was worth much less than today.

So I heard that 600K more Bitcoin doesn't belong to DPR, but it belongs to TSR members..

This is news to me. They are fully visible? Any source of that information?
Afaik the amount in his private pockets isn't known, only estimated (and most likely way less than 600k).

Are we forgetting about Mt Gox's account that is also locked up by the USG? The more they lock up and would eventually want in their coffer, the longer Bitcoin will stay online.

The Gox seizures were a US dollar Wells Fargo account ($2.1 million) and more recently a Dwolla account ($2.9 million), totalling $5 million, held by a subsidary called Mutum Sigillum LLC. Of course, "seizing" fiat digital bank accounts is a misnomer because the funds do not have an objective existence, e.g. like a private key, but are merely database entries that everyone believes have value so they do, until someone sets a flag against the database entry that signifies "seized".

A great article by Wired on how the FBI might deal (or not deal) with their seized bitcoins:

http://www.wired.com/wiredenterprise/2013/10/silk-road-bust/

Very interesting problem for them: bitcoin has already been legally declared a form of currency, but they have no government-sanctioned method of dealing with bitcoin currency.  I'm guessing it either gets sold at auction or they tear up the private key.

An FBI spokesperson quoted by Forbes explained that the amount of Bitcoins already seized was held from Silk Road user accounts, and that the agency has not yet been able to get to Ulbricht’s own encrypted Bitcoin wallet.

“That’s like another $80 million worth,” the spokesperson was quoted as saying.

The agency also appeared to be unsure what to do with the digital money trove once the Silk Road court case is closed.

“This is kind of new to us. We will probably just liquidate them,” the FBI spokesperson said.

http://rt.com/usa/fbi-silk-road-protest-785/

I wonder what will happen to the coins (aka balances) belonging to people that were using the site for legal purchases?  ???

If the Feds connected that wallet to DPR, can't they just get a court order for the key to his wallet?

This is a joke right?

He can plead the 5th, to avoid self-incrimination easily.