October 26, 2013
Federal officials announced the largest-ever seizure of bitcoins on Friday night, securing $28 million worth of the digital currency from the alleged owner of the online drug marketplace Silk Road.
Bitcoin, which allows users to conduct online transactions while obscuring their identities, was the only currency accepted on Silk Road. Law enforcement officials arrested the site’s alleged proprietor, Ross Ulbricht, earlier this month, and have shuttered the operation.
Ulbricht faces a potentially lengthy prison sentence for charges ranging from narcotics trafficking to computer hacking to money laundering. Federal officials have now seized over $33.6 million worth of bitcoins in connection with the case.