Silk Road Founder Ross Ulbricht To Forfeit $3 billion worth of BTC To The US Government

Ross Ulbricht, the founder of the dark web marketplace Silk Road, will forfeit his claim to Bitcoin worth approx. $3 billion in fulfillment of the $183 million debt that he owns to the US government.

Digital asset holdings of Ulbricht will include Bitcoin, Bitcoin SV, Bitcoin Cash, and Bitcoin Gold, according to a recent court filing.

In 2020, the Justice Department seized from a hacker who attacked Silk Road after which it was shut down and moved the BTC to a private wallet in 2013. This year was five years later when Ulbricht was sentenced to life without parole. Today, the 69,370 BTC seized during the closure of Silk Road are worth around $3 billion.

The Silk Road marketplace is considered the first dark web marketplace. It was operated between 2011 to 2014 when it was shut down by the FBI. During that period it facilitated the trade of many illegal activities including drugs and weapons.

The Justice Department made a deal with Ulbricht in 2021. According to which he would forfeit any claim he might have to the funds in exchange for the restitution by the Department when the Bitcoin is auctioned.

The parties mutually decided that the proceeds from the [bitcoin] forfeited pursuant sale of the contract would be given to any unpaid balance of the Money Judgment, as per the court filing.

This settlement releases the burden from Ulbricht to pay restitution if he ever gets liberated. In addition, it would also allow him to earn money while being in prison. However, he still has to suffer a lifetime sentence.

Will Ulbricht Get The Freedom?

Lyn Ulbricht, this mother, who constantly has seen campaigning for her son’s releases, says this is indeed an important win.

Lyn said that much to their delight, the financial penalty wrongly forced on Ross is now reversed just like how other charges imposed on him are dropped down in federal court after trial.

People around the world including the crypto community continue to support the campaign for Ulbricht’s appeal.

On the other hand, the Silk Road founder has auctioned some of his artworks as NFTs on super rare. Meanwhile, FreeRossDAO is constantly doing efforts to liberate Ulbricht

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Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing