NY US Attorney says $28M in bitcoins seized

Oct 26, 2013

The United States Attorney in New York says about $28 million worth of bitcoins have been seized from a man charged with operating a notorious online drug marketplace known as Silk Road.

U.S. Attorney Preet Bharara (buh-RAH'-ruh) said Friday more than 144,000 were found on computer hardware belonging to Ross William Ulbricht.

Federal authorities in New York have charged Ulbricht with three felonies related to the operation of the website. He was sent to New York from California earlier this month.

The federal public defender who represented Ulbricht in California declined to comment. His New York attorney didn't immediately return messages.

Silk Road gained notoriety as a black market bazaar where drugs could be bought and sold using bitcoins, a form of online cash.

Explore further: Accused Silk Road mastermind to be sent to New York for trial (Update)

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grondilu
5 / 5 (1) Oct 26, 2013
So, what will they do with those bitcoins?
Lurker2358
2 / 5 (4) Oct 26, 2013
Sell them for real money, and use them to track the next round of law breakers.
kochevnik
2 / 5 (4) Oct 26, 2013
Taking those bitcoijns out of circulation only increases their value!
VendicarE
3.7 / 5 (3) Oct 27, 2013
"So, what will they do with those bitcoins?" - grondilu

Melt em down and extract the chocolate.
bear_dressed_as_a_monkey
1 / 5 (2) Oct 30, 2013
So, what will they do with those bitcoins?

Just a guess:
Until the trial is over, they are part of the prosecution's evidence, so they'll stay on the computer(s) where they were found. After the trial and appeals are done they'll be sold off just as other seized assets are in drug-related cases.
kochevnik
1 / 5 (2) Nov 01, 2013
Sell them for real money, and use them to track the next round of law breakers.
You mean gold? All gold is being sold in the west and bought in China and India. You can get some gold promissory notes which are good for rolling cigarettes in the next crisis