Government and Crypto Hacks

[silpersurfer]

It does not matter whether the confiscated bitcoins are sold or not, just like what the US does, but they make it a Bitcoin strategic Reserve.
 
They have their own rules in managing each confiscated item, whether it will be sold or not because it is the right of the government if the government does not know who is affected by the phishing, but if the government knows the owner who was hacked then naturally the government gives it to the original owner and cannot be sold and recognized by the government.

[AmoreJaz]

Now that governments have become very good at using tracking tools to find down stolen digital money and get it back to person, all too mostly there seems to be little care given on giving that money back to person. Current rules in United States such as planned Strategic Bitcoin Store show hard choice in which government may keep taken Bitcoin as country resource other than pay people of robbery.
But, hopefully, we are at last getting good change to people first laws, including new March 2026 change in South Korea which, in fact, thinks of crypto as money and needs direct pay backs in cases of theft. Even though getting back step in places such as U.S is still slow and hard to regular buyers, these new world steps are sign that governments are slowly stopping habit of holding money that was stolen in banks and even trying to take care of people who lost their money.

The government somehow has their budget to allocate for this kind of investigation. So it is just appropriate that they will get the stolen money and use it for the developmental projects of the government. So it is just right that the government will do something for these seized funds.

[Jewan420]

It is not possible to give a correct explanation of your incident, because we are not yet completely ignorant of the exact incident. Maybe you are still wrong to explain the incident completely, you should have added a source.

However, the government cannot control crypto, especially Bitcoin. It is impossible for any government or any organization to monitor or interfere with Bitcoin. Because Bitcoin is still decentralized and anonymous. The hacker may have stolen Bitcoin from some centralized medium where the government had surveillance. For example, a centralized exchange or a centralized crypto gambling site. Although Bitcoin is unregulated, these sites are regulated. If the government was able to directly monitor Bitcoin, the amount of BTC would have been several times higher.

[Nathrixxx]

It has even gotten to an extender some people do suspect that government are also part of the major sponsors to some of these hacks and still standing the best position to make seizures after this has been discovered as well, it has been found on countless occasions that those coins that were seized or confiscated when not accounted for at the long run, can running back into the government purse for their use at a long time plan.

[Yaunfitda]

This news just come to my feed, and it talks about the government of South Korea has sold roughly around 320 BTC. The said bitcoin comes from a hacker, specifically using phishing method. This hacker returned the stolen bitcoin allowing the prosecutor to confiscate and sell it to others. Does this mean the government are still tracking the world of bitcoin and crypto? If they have those amount of bitcoin, what do you think of the thought that they just sell it and don't try to study and understand the crypto to make in benefit of them? Or can they centralize the world of cryptocurrency?

Perhaps you should understand why the government sold it, it could be that they want to compensate the victims of this hacked and return the money to the rightful owner. As for returning, he knows that he can't hide that Bitcoin for a long time as all analytics are going to follow it no matter what. So maybe that's what decided him to return the stolen Bitcoin and then not be prosecuted by the government of South Korea, so it's a win-win for them. South Korea is a Bitcoin and friendly country, they already have a lot of exchanges and regulation so I don't think that they need to study it anymore.

[Zlantann]

It has even gotten to an extender some people do suspect that government are also part of the major sponsors to some of these hacks and still standing the best position to make seizures after this has been discovered as well, it has been found on countless occasions that those coins that were seized or confiscated when not accounted for at the long run, can running back into the government purse for their use at a long time plan.

Only a rogue government will be part of a system or process that steals from its citizens. The government could develop a honey pot to study and track hackers. But sponsoring a scam project to defraud citizens is madness. Your thoughts are correct if the government sponsors these criminals to steal from victims in other countries, as in the case of North Korea. However, I doubt if the South Korean government will be part of such a criminal network that defrauds its citizens.

[davis196]

This news just come to my feed, and it talks about the government of South Korea has sold roughly around 320 BTC. The said bitcoin comes from a hacker, specifically using phishing method. This hacker returned the stolen bitcoin allowing the prosecutor to confiscate and sell it to others. Does this mean the government are still tracking the world of bitcoin and crypto? If they have those amount of bitcoin, what do you think of the thought that they just sell it and don't try to study and understand the crypto to make in benefit of them? Or can they centralize the world of cryptocurrency?

320 BTC is worth 23.7 million dollars. Do you believe that the government of South Korea cares that much about 23 million dollars?
What do you mean by "try to study and understand the crypto and make in benefit of them"? I'm sure that the government of South Korea understands how crypto works and they've benefited of crypto by selling the confiscated BTC. Do you want the government of South Korea to just HODL the seized Bitcoins in a fund or something? The crypto world cannot be centralized by governments, which are confiscating cryptocurrencies, especially small amounts of crypto, like those 320 BTC.

[The Cryptovator]

Unless you post the new source link, it's hard to understand the real situation, because sometimes we fail to express our opinion. Hackers won't send Bitcoins to the government; otherwise, why would they have hacked? Rather, the government probably seized Bitcoin from the hackers somehow. Unless hackers mix Bitcoins, then it's pretty easy to know from where these Bitcoins came from.

Regarding with this, it is said that the hacker returned the bitcoin to the government. So I guess it is their right to do whatever about the stolen bitcoin. It will also be a long process to track every address to it's rightful owner.

Bitcoin Blockchain keeps all the records of transactions, and it couldn't be destroyed. When the government seized something legal in the country from someone, then they definitely returned it to the right owner unless it was involved with criminal activity. Like your mobile phone being stolen, one day it is seized from the thieves, and then the legal authority should return it to the right owner. So unless we read the full news, we can't say something. Governments don't have the right to sell my assets; they could sell only unclaimed confiscated assets, though each government would have their own rules.

[Publictalk792]

320 BTC is worth 23.7 million dollars. Do you believe that the government of South Korea cares that much about 23 million dollars?
What do you mean by "try to study and understand the crypto and make in benefit of them"? I'm sure that the government of South Korea understands how crypto works and they've benefited of crypto by selling the confiscated BTC. Do you want the government of South Korea to just HODL the seized Bitcoins in a fund or something? The crypto world cannot be centralized by governments, which are confiscating cryptocurrencies, especially small amounts of crypto, like those 320 BTC.

Although government is aware of working of crypto, their main goal is to have it controlled in safe way with no plans that they will make profit as buyer. They also do not keep taken Bitcoin over long times since price changes so fast and they do not wish to lose money of people in case market falls. Sale of such coins in shortest time possible also helps in avoiding more troubles, such as the example of the 2025 online scam in which these specific coins were nearly stolen during police care. Although Bitcoin was made in way that it is not controlled by one group, government can still handle it through making of laws that control trades in which most people keep their money. In making all amounts of money be treated as legal top need, state shows its care over law and order more than acting as crypto trader since criminals cannot find way around it.

[hero_the_bossman]

This news just come to my feed, and it talks about the government of South Korea has sold roughly around 320 BTC. The said bitcoin comes from a hacker, specifically using phishing method. This hacker returned the stolen bitcoin allowing the prosecutor to confiscate and sell it to others. Does this mean the government are still tracking the world of bitcoin and crypto? If they have those amount of bitcoin, what do you think of the thought that they just sell it and don't try to study and understand the crypto to make in benefit of them? Or can they centralize the world of cryptocurrency?

320 BTC is worth 23.7 million dollars. Do you believe that the government of South Korea cares that much about 23 million dollars?
What do you mean by "try to study and understand the crypto and make in benefit of them"? I'm sure that the government of South Korea understands how crypto works and they've benefited of crypto by selling the confiscated BTC. Do you want the government of South Korea to just HODL the seized Bitcoins in a fund or something? The crypto world cannot be centralized by governments, which are confiscating cryptocurrencies, especially small amounts of crypto, like those 320 BTC.

Agreed through and through their GDP is in trillions of dollars.. it's a drop in the ocean for them.