iTnews

Single bidder wins Silk Road Bitcoin booty

By Staff Writers on Jul 2, 2014 10:56AM
Single bidder wins Silk Road Bitcoin booty

Takes home $18.8m in virtual currency.

A single unnamed bidder has snapped up bitcoins valued at nearly US$17.7 million (A$18.8 million) seized by the US Marshalls Service following an online auction last week.

The 29,655 bitcoins, which were discovered on Silk Road servers, were auctioned over a 12-hour period late last week in nine blocks of 3000 bitcoins, and one block of 2657 bitcoins.

The auction drew 63 bids from 45 registered bidders.

The price of Bitcoin rose last week, adding to the winners gains - it was last priced at US$652.02 (A$687.24), up 2 percent on the session. It has gained more than 15 percent since June 25, according to digital currency exchange Coindesk.

Several prominent participants revealed they had attempted to purchase some of the bounty, but had been unsuccessful.

Barry Silbert of SecondMarket Holdings, which runs a bitcoin investment platform, said his firm was outbid, as did hedge fund Pantera Capital, which bid below the market price, according to Pantera chief executive Dan Morehead.

Bitcoin Shop, which trades on the over-the-counter market OTCQB, said its bid had also been rejected. The virtual currency ecommerce company bid directly in the auction as well as through a syndicate organised by SecondMarket.

The US Marshals continue to hold about 144,342 additional bitcoins that were subject to a civil forfeiture proceeding.

Silk Road was shut down after an FBI raid in September 2013. Agents took control of its server and arrested the alleged owner and operator of the website, Ross Ulbricht.

Ulbricht is scheduled to face trial in November. He has pleaded not guilty to the four counts against him, including money laundering conspiracy and engaging in a continuing criminal enterprise.

Authorities have separately charged two Australians in connection with their alleged roles in assisting Ulbricht in operating Silk Road.

Got a news tip for our journalists? Share it with us anonymously here.
Copyright Reuters
© 2019 Thomson Reuters. Click for Restrictions.
Tags:
bitcoincurrencyfinanceroadsilk

Partner Content

Alienated from your own data? You’re not alone
Promoted Content Alienated from your own data? You’re not alone
Teaching tech teams every step of implementing a machine learning project
Promoted Content Teaching tech teams every step of implementing a machine learning project
Top 5 Benefits of Managed IT Services
Promoted Content Top 5 Benefits of Managed IT Services
DoT Victoria turns to Oracle to implement unified cloud-based platform
Promoted Content DoT Victoria turns to Oracle to implement unified cloud-based platform

Sponsored Whitepapers

Planning before the breach: You can’t protect what you can’t see
Planning before the breach: You can’t protect what you can’t see
Beyond FTP: Securing and Managing File Transfers
Beyond FTP: Securing and Managing File Transfers
NextGen Security Operations: A Roadmap for the Future
NextGen Security Operations: A Roadmap for the Future
Video: Watch Juniper talk about its Aston Martin partnership
Video: Watch Juniper talk about its Aston Martin partnership
Don’t pay the ransom: A three-step guide to ransomware protection
Don’t pay the ransom: A three-step guide to ransomware protection

Events

  • iTnews Benchmark Awards 2022 - Finalist Showcase
  • 11th Annual Fraud Prevention Summit 2022
  • IoT Impact Conference
  • Cyber Security for Government Summit
By Staff Writers
Jul 2 2014
10:56AM
0 Comments

Related Articles

  • Tax cuts could turn Australia into a "crypto hub": senator
  • China's digital yuan wallets swell
  • Self-proclaimed bitcoin inventor largely prevails in US trial
  • Consortium of Japanese firms to test launch digital currency
Share on Twitter Share on Facebook Share on LinkedIn Share on Whatsapp Email A Friend

Most Read Articles

Kmart Australia stands up consent-as-a-service platform

Kmart Australia stands up consent-as-a-service platform

Telstra to open its 5G network to wholesale customers

Telstra to open its 5G network to wholesale customers

Active Directory defaults lead to no-fix PrivEsc vulnerability

Active Directory defaults lead to no-fix PrivEsc vulnerability

Westpac promotes its head of technology to mortgage role

Westpac promotes its head of technology to mortgage role

Digital Nation

Metaverse hype will transition into new business models by mid decade: Gartner
Metaverse hype will transition into new business models by mid decade: Gartner
The other ‘CTO’: The emerging role of the chief transformation officer
The other ‘CTO’: The emerging role of the chief transformation officer
As NFTs gain traction, businesses start taking early bets
As NFTs gain traction, businesses start taking early bets
COVER STORY: From cost control to customer fanatics, AI is transforming the contact centre
COVER STORY: From cost control to customer fanatics, AI is transforming the contact centre
Case Study: PlayHQ leverages graph technologies for sports administration
Case Study: PlayHQ leverages graph technologies for sports administration
All rights reserved. This material may not be published, broadcast, rewritten or redistributed in any form without prior authorisation.
Your use of this website constitutes acceptance of nextmedia's Privacy Policy and Terms & Conditions.