The transfer of almost 29,800 Bitcoin BTC from the Silk Road DOJ Confiscated Funds Arkham Intelligence’s on-chain data discovered two new addresses on July 29 at 16:18 UTC.
The infamous dark web store Silk Road is linked to the seized bitcoins. The website was known for advancing criminal exercises such as cash washing and medicates trafficking.
Arkham is a data firm that monitors cryptocurrency fluctuations. They recently reported a transfer that has sparked speculation: what are the US government’s intentions with the seized bitcoin?
According to on-chain investigation LookOnChain, the US government currently holds 179,155 bitcoins, worth $12.14 billion.
Source: Beincrypto
US Government Takes 174K Bitcoin from Silk Road Marketplace
US authorities seized 174,000 BTC from the Silk Street marketplace. Â This is one of the biggest cryptocurrency seizures in history.
Federal authorities shut down Silk Road, which was run by computer expert Ross Ulbricht, in 2013. Ulbricht was found guilty and sentenced to life imprisonment without the possibility of release.
The transfer of Bitcoins to unknown addresses indicates the US government’s strategic approach to managing cryptocurrency assets.
Similar situations have occurred in the past when the government sold seized assets. Historically, bitcoin has been auctioned off by the U.S. Marshals Service, giving investors the opportunity to purchase large amounts of the cryptocurrency.
As of press time on Tuesday, the price of Bitcoin has fallen by 3.8% to $66,600. Such a massive transfer of Bitcoin has the potential to impact market dynamics and, the price and liquidity of the cryptocurrency.
Market players are keeping a close eye on any signs of increased government action, such as more sales or transfers.
3,940 BTC seized by the US government sent to Coinbase Prime wallet
Concurring to Arkham Insights, the US authorities reallocated 3,940 bitcoins to a Coinbase Premier wallet in June.
The data showed the Bitcoins were confiscated from Banmeet Singh, a convicted drug trafficker who pleaded guilty to money laundering earlier this year. As of press time, the transferred bitcoins were worth $241 million.
Donald Trump guarantees to exculpate Ross Ulbricht if he wins the election
Previous US President Donald Trump has guaranteed to commute Silk Road developer Ross Ulbricht’s sentence if re-elected. Trump declared during the recent Bitcoin Conference in Nashville that he would pardon Ross on his first day in office. Ross has been in prison for the past eleven years.
