Security News > 2020 > November > U.S. Seizes $1 Billion Worth of Bitcoin Connected to Silk Road
The United States this week announced that it seized $1 billion worth of Bitcoin stolen by an individual from the Silk Road marketplace over half a decade ago.
Earlier this year, agents of the IRS CI were able to identify 54 previously undetected Bitcoin transactions associated with Silk Road, representing Bitcoin that was allegedly stolen from Silk Road in or about 2012 and 2013.
Following several hard-forks that Bitcoin went through, similar amounts of Bitcoin Cash, Bitcoin Gold, and Bitcoin SV were found in 1HQ3. The funds, the complaint reveals, were stolen from Silk Road by an unnamed hacker, who did not spend the money, but didn't return it either, despite being threatened by Ulbricht, who became aware of his identity.
On November 3, the hacker, referred to by authorities as "Individual X," handed custody of the Bitcoin address to U.S. law enforcement.
"Silk Road was the most notorious online criminal marketplace of its day. The successful prosecution of Silk Road's founder in 2015 left open a billion-dollar question. Where did the money go? Today's forfeiture complaint answers this open question at least in part. $1 billion of these criminal proceeds are now in the United States' possession," United States Attorney David L. Anderson of the Northern District of California commented.