Business In News
- U.S. authorities sold over 9,000 Bitcoin forfeited by Ross Ulbricht in the Silk Road case, a darknet marketplace shut down in 2013.
- The government liquidated $216 million in BTC, paying around $215,000 in fees on March 14 per a court filing.
- U.S. authorities plan to liquidate an additional 41,490 BTC in four trenches over the rest of 2023.
The U.S. government liquidated 9,800 Bitcoin (BTC) forfeited by Ross Williams Ulbricht, the creator of the defunct darknet market website Silk Road opened in 2011. According to court filings, authorities sold the 9,800 BTC for approximately $216 million on March 14. Authorities also paid roughly $215,000 in transaction fees.
Data from TradingView showed that BTC traded as high as 26,400 on that same day.
Ulbricht forfeited nearly 51,400 BTC in total to the American government after his arrest in 2013. U.S. authorities now have about 41,490 Bitcoin after selling 9,800 BTC in March 2023. The court filing noted that the government plans to liquidate more BTC throughout the year.
The U.S. government did not disclose specific liquidation periods for its Silk Road BTC bag. However, the rest of the forfeited Bitcoin will be sold in four batches over the course of this calendar year – 2023, the filing disclosed.
It’s unclear if the BTC liquidation by U.S. authorities had any significant implications on Bitcoin’s price on March 14 or afterward.
Crypto’s leading coin could experience selling pressure between U.S. liquidations and Mt. Gox repayments expected to happen this fall. Notably, two of the largest Mt. Gox creditors chose an early payment in BTC, cushioning fears that the exchange will be forced to dump crypto for fiat to meet payment demands.
51,000 Bitcoin Seized From Silk Road, Ulbricht Sentenced To Life
Ross William Ulbricht created the Silk Road darknet web market in 2011 that accepted digital payments in BTC. Later in 2013, Ulbricht was arrested for operating a platform that facilitated money laundering, narcotic sales, and other unlawful services.
U.S. authorities sentenced Ulbricht to life in prison. The silk road dark website was also shut down and over 51,000 Bitcoin was forfeited by Ulbricht as part of the case.