Brisbane man arrested for role in Silk Road marketplace

The United States police investigation into the Silk Road marketplace has seen a Brisbane man arrested by Australian Federal Police on allegations of violating American narcotics laws.

In the indictment filed at the New York southern district court, US authorities allege that 40-year-old Peter Philip Nash was the primary moderator on Silk Road discussion forums.

Nash allegedly used several nicknames on Silk Road, including "Samesamebutdifferent", "Batman73", "Symmetry" and "Anonymousasshit". He is accused of money laundering and breaking drug laws, as well as selling malicious software such as keyloggers, password stealers and remote access tools (RATs).

For his role as a forum moderator, Nash is thought by authorities to have been paid US$50,000 to US$75,000 a year by Silk Road founder Ross Ullbricht, who was arrested earlier this year and now faces drug trafficking and potentially murder conspiracy charges.

Irishman Gary Davis and American Andrew Michael Jones have also been charged by the US authorities.

Both are alleged to have been site administrators.

Silk Road is believed to have generated trade of US$1.2 billion and commission of US$79 million before the site was closed down by US law enforcement.

Digital crypto currency Bitcoin was the main form of payment used on Silk Road. Authorities claim it was used with 100,000 buyers to obtain controlled substances such as cocaine, LSD, methamphetamine, and heroin.