U.S. Government Is Turning Seized Silk Road Bitcoins Into Cash

[the_poet]

http://techcrunch.com/2014/04/28/us-government-is-turning-seized-silk-road-bitcoins-into-cash/

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[jonald_fyookball]

good.  i dont want the US government being a large stakeholder.

[durrrr]

i keep hearing this but wouldnt they just put a sell order into an exchange for all the bitcoins and create a wall and then that would make price go down but yeah i dont get why its taking them so long and if they havnt dumped then why is price still going down

[Domino]

i keep hearing this but wouldnt they just put a sell order into an exchange for all the bitcoins and create a wall and then that would make price go down but yeah i dont get why its taking them so long and if they havnt dumped then why is price still going down

Shouldn't they do an auction to get the best price?

[bryant.coleman]

good.  i dont want the US government being a large stakeholder.

But these articles are just based upon unsubstantiated rumors. Do they have any real evidence that the FBI is really selling off those coins? I really doubt that. All are just baseless assumptions. 

[teukon]

i keep hearing this but wouldnt they just put a sell order into an exchange for all the bitcoins and create a wall and then that would make price go down but yeah i dont get why its taking them so long and if they havnt dumped then why is price still going down

Shouldn't they do an auction to get the best price?

Why would they try to get the best price?  This is a government agency, not a business.

[BitCoinDream]

http://techcrunch.com/2014/04/28/us-government-is-turning-seized-silk-road-bitcoins-into-cash/

Faster they do it, quicker the market will revive

[the_poet]

i keep hearing this but wouldnt they just put a sell order into an exchange for all the bitcoins and create a wall and then that would make price go down but yeah i dont get why its taking them so long and if they havnt dumped then why is price still going down

Shouldn't they do an auction to get the best price?

Why would they try to get the best price?  This is a government agency, not a business.

Government-seized property is usually sold via auctions.

[gagalady]

Is there any proof that gov is really selling bitcoins? Or it's just a rumor. It's stated like a fact but Is there actual proof of this?

[SomethingElse]

The US government being the largest holder of bitcoin is kind of a good thing.  That way the US will not ban it.  Think if China had that many bitcoin right now.  We wouldn't be in this mess.  The worse thing that could happen is that the US totally dumps and then bans it. 

[beetcoin]

The US government being the largest holder of bitcoin is kind of a good thing.  That way the US will not ban it.  Think if China had that many bitcoin right now.  We wouldn't be in this mess.  The worse thing that could happen is that the US totally dumps and then bans it. 

they should just give it to the CIA so they can use it to bribe the people they already do.

[jbrnt]

They will never sell them on an exchange. They will be sold in an auction, but the person who bought them might. It all depends on who bought them. Whichever way, it is still in the interest of the new owner(s) to keep them off exchanges to maintain a good reference price for his/their assets.

[Bitcoin Magazine]

now they owe infinite dollars as a result of Silk Road's escrow agreement

[Cryptopher]

i keep hearing this but wouldnt they just put a sell order into an exchange for all the bitcoins and create a wall and then that would make price go down but yeah i dont get why its taking them so long and if they havnt dumped then why is price still going down

I don't believe that the US government would go down the exchange route for selling such a volume of bitcoins. Private auction(s) would be the likely option, no doubt a number of personnel will take their cut too...

[beetcoin]

would have thought they would somehow pump BTC up before dumping. why wouldn't they, right?

[Peter R]

The nice thing about bitcoin is that you can just check for yourself:

http://blockchain.info/address/1F1tAaz5x1HUXrCNLbtMDqcw6o5GNn4xqX?offset=0&filter=0

None of the Silk Road seized coins have been moved.

[teukon]

i keep hearing this but wouldnt they just put a sell order into an exchange for all the bitcoins and create a wall and then that would make price go down but yeah i dont get why its taking them so long and if they havnt dumped then why is price still going down

Shouldn't they do an auction to get the best price?

Why would they try to get the best price?  This is a government agency, not a business.

Government-seized property is usually sold via auctions.

Yes, this is a much better reason for why an auction will likely take place.

[Noruka]

The US government being the largest holder of bitcoin is kind of a good thing.  That way the US will not ban it.  Think if China had that many bitcoin right now.  We wouldn't be in this mess.  The worse thing that could happen is that the US totally dumps and then bans it. 

unfortunately thats not how it works all at.

The US will have zero interest a stable bitcoin even if they own it. They would rather watch every coin they own disappear at zero value if it means bitcoin goes away.

[CoinDiver]

The worst possible outcome would be for the government to hold those bitcoins. Long term, or course. Short term, it's very likely going to cause some turmoil.

[Jcw188]

The nice thing about bitcoin is that you can just check for yourself:

http://blockchain.info/address/1F1tAaz5x1HUXrCNLbtMDqcw6o5GNn4xqX?offset=0&filter=0

None of the Silk Road seized coins have been moved.

Hypothetically, couldn't the buyer of the BTC just get access/control to the coins, but decide not to move them?