Should miners collude to steal funds from wallet confiscated by US government?

are the any other situations where this is encouraged?

No, this puts us on the slippery slope of reducing fungibility.

That would be really funny but also a really bad idea.

Allowing such behavior would open a door to all kind of abuse. I think the goal here is not to fight the establishment but just showing them how irrelevant they are becoming in the modern days.

This is likely the worst idea I've ever seen on these forums, and this place is full of bad ideas.

Let's say this happens. Bigger than the SR story would be the story that "a few million dollars has been stolen from the government."

Do you think that would help or hurt Bitcoin?

Do you think the average person is going to feel safe buying Bitcoins when not even the FBI could keep their Bitcoins safe?

Agreed.



Edit: To the people whining below that it can't be done and therefore anyone answering whether it should be done is an idiot... the question is whether it should be done. Nowhere in the OP does it ask if it can be done, or how difficult or unlikely it would be.

Really?  You think miner should collude to wind the blockchain back to a week ago and then what? 

People who voted "Yes," think about this a little more. If the Bitcoin community was going to pull such a stunt, it would have to save it for a cataclysmic situation. If the feds somehow seized half of all bitcoins in existence, then it might be time to have a careful debate about this...and probably still not do it. But for this little bit of money?

It would destroy Bitcoin's reputation as impartial, unimpeachable, immutable money. Not only would it turn governments against us, it would also show people that money they receive could be taken from them if they lose in the court of public opinion. It would be like a giant billboard saying BITCOIN: YOUR MONEY AT THE WHIMS OF THE MASSES.

And some people say there's a clean line we can draw in the case of the feds. How about legitimately seized bitcoins, from real criminals? How about those of the big banks? How about large companies like Apple and Walmart, that have close ties with the government just by virtue of their size? How about pirateat40's stash? Why not anyone with a Scammer tag on bitcointalk? Heck, why not annul the bitcoins of all taxpayers, since they feed the government by not resisting?

This is the most dangerous idea to come about in a long time. Please, please, please think this through.

I think it's all in cold storage by now. I saw some lame-o Forbes article about what the Feds have in mind for the confiscated BTC.
http://www.forbes.com/sites/kashmirhill/2013/10/04/fbi-silk-road-bitcoin-seizure

If this ever happens, Bitcoin dies that day.

Its really that simple, not sure why people think this could be done with no repercussions.

Bitcoin works because of its trustless nature, Satoshi himself made a big point about that. However if we allow the movement of funds without knowing the private key then Bitcoin becomes a trusted system, we now have to trust the miners not to move funds and now Bitcoin is the absolute opposite of what Satoshi intended.

So if this happens, the trustless foundation is no more and people will lose faith and the value of a Bitcoin will become less than a dollar.

This would only manage to set a shady precedent and possibly lead to situations where it is decided that someone is "wrong" so we confiscate all their money