The post US Court Greenlights Sale of $6.5B in Seized Silk Road Bitcoin appeared on BitcoinEthereumNews.com.

The U.S. government has secured final approval in the Northern District Court 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. 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. 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. It’s unclear why the document relating to the seized Bitcoin has surfaced this week. The DOJ has declined a request for 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. The ruling alone doesn’t guarantee immediate liquidation since federal asset forfeiture involves multiple administrative steps and potential appeal windows. Portions of the seized Bitcoin have already been sold by the DOJ 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…

---

Filed under: News - @ January 10, 2025 8:25 pm