US Court Greenlights Sale of $6.5B in Seized Silk Road Bitcoin

Có thể bạn quan tâm

The U.S. government has secured final approval in the Northern District of California to liquidate crypto’s largest-ever federal seizure, signaling the closure of a complex four-year legal battle over billions in Bitcoin tied to the infamous Silk Road marketplace.

Bạn đang xem: US Court Greenlights Sale of $6.5B in Seized Silk Road Bitcoin

Chief U.S. District Judge Richard Seeborg denied a motion to block the forfeiture of 69,370 Bitcoin, clearing the Department of Justice to sell the $6.5 billion assets, according to a court document filed December 30.

It’s unclear why the document has surfaced this week. Decrypt has reached out to the DOJ for further comment.

The development confirms prior reporting in October last year when it appeared the U.S. government was free to sell the seized Bitcoin from a Silk Road-affiliated wallet.

Decrypt reviewed the court document following an initial report late Wednesday evening by DB News, which cited officials confirming the ruling.

Xem thêm : The charts indicate it’s time to bet on bitcoin and short gold, says Todd Gordon

The ruling alone doesn’t guarantee immediate liquidation since federal asset forfeiture involves multiple administrative steps and potential appeal windows.

The DOJ has already moved portions of the seized Bitcoin in recent months. On December 3, 2024, the U.S. government moved nearly $2 billion in Silk Road Bitcoin to Coinbase.

The government maintains a custody arrangement with Coinbase Prime through the U.S. Marshals Service (USMS), a division of the DOJ.

Checking out, cashing in

The Justice Department’s path to finally checking out Satoshi-era Bitcoin stash has weathered several legal storms, including appeals to the Ninth Circuit and Supreme Court.

It marks a decisive end to challenges from multiple claimants, including Battle Born Investments, which had argued ownership rights through bankruptcy proceedings involving an individual they believed was the original owner.

The final draw hinged on a Freedom of Information Act request seeking to unmask “Individual X,” the mysterious figure who surrendered the Bitcoin to authorities in 2020.

Court documents from the case timeline indicate the seized crypto originated from Silk Road, the dark web marketplace shuttered by federal authorities in 2013.

Xem thêm : Top CFOs say bitcoin isn’t fraud, but they won’t hold on balance sheet

Judge Seeborg is known for high-profile cases. He recently rejected arguments that Google, under Alphabet, adequately disclosed how it tracked user activity. The tech giant now faces a possible trial in August.

The Bitcoin cache represents what remains of the platform’s illegal transactions in what could become one of the largest government crypto liquidations in history.

Trump timing

The resolution arrives at a politically charged moment for government crypto holdings.

President-elect Donald Trump, who told holders “never sell your Bitcoin” at a Nashville crypto conference in July last year, also pledged to build a strategic “Bitcoin stockpile.“

The newly revealed documents also raise concerns about the handling of these assets, with Trump set to be sworn into office in less than two weeks.

Edited by Sebastian Sinclair