$1bn in bitcoin seized

[Supa Dexta]

So I was just reading the feds seized 1 billion in bitcoin, but I never actually read how? Do they physically have to take a hard drive or memory stick or something? I thought thats what crypto prized itself on was being so secure and secretive? We've had quadrigaCX had its accounts opened and now 1bn in bitcoin snatched like it was a truck load of cash.

Everyone's preoccupied with the election and the gov't needed a billion to cover the cost of it.

https://www.google.com/amp/s/arstech...place/%3famp=1

[pheoxs]

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So I was just reading the feds seized 1 billion in bitcoin, but I never actually read how? Do they physically have to take a hard drive or memory stick or something? I thought thats what crypto prized itself on was being so secure and secretive? We've had quadrigaCX had its accounts opened and now 1bn in bitcoin snatched like it was a truck load of cash.

Everyone's preoccupied with the election and the gov't needed a billion to cover the cost of it.

https://www.google.com/amp/s/arstech...place/%3famp=1

All you need is the private key for the wallets. This can be done in a variety of ways, phishing sites, malware, ddos attacks to expose vulnerabilities, or even just arresting someone and seizing their laptops.

Most exchanges use hot and cold wallets. Hot wallets are what are constantly in use and coins shuffling back and forth as people deposit and withdraw things whereas cold wallets are typically longer term storage. Think bank tellers with cash in the drawers vs cash in the wallet. Seizing the live server gives access to all the hot wallets pretty easy.

[prae]

https://www.theguardian.com/technolo...-ross-ulbricht
https://www.forbes.com/sites/kashmir...h=55e6c24b2848
https://www.forbes.com/sites/andygre...h=da8d1eb27655

These were seized as part of the silk road takedown in the early aughts. It's interesting reading for sure. Likely the key's to Ulbricht's personal wallet were simply held on his laptop.

Interesting timing in terms of the liquidation. HODLing did the fed some good, nice ROI for holding onto those BTC for a few years...

[Misterman]

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https://www.theguardian.com/technolo...-ross-ulbricht
https://www.forbes.com/sites/kashmir...h=55e6c24b2848
https://www.forbes.com/sites/andygre...h=da8d1eb27655

These were seized as part of the silk road takedown in the early aughts. It's interesting reading for sure. Likely the key's to Ulbricht's personal wallet were simply held on his laptop.

Interesting timing in terms of the liquidation. HODLing did the fed some good, nice ROI for holding onto those BTC for a few years...

Did they actually liquidate it? Only thing I read was that they had found a way to get access and seized it. I was just trying to figure this all out, it makes no sense for BTC to go on a 20% rally right as they're liquidating a billion dollars worth. I had figured the market must assume this billion dollars will never be seen again as the government holds it and doesn't know what to do with it.

[ThePenIsMightier]

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https://www.theguardian.com/technolo...-ross-ulbricht
https://www.forbes.com/sites/kashmir...h=55e6c24b2848
https://www.forbes.com/sites/andygre...h=da8d1eb27655

These were seized as part of the silk road takedown in the early aughts. It's interesting reading for sure. Likely the key's to Ulbricht's personal wallet were simply held on his laptop.

Interesting timing in terms of the liquidation. HODLing did the fed some good, nice ROI for holding onto those BTC for a few years...

The story in Wired Magazine about his takedown was one of the most compelling things I've ever read.
Part 1: https://www.wired.com/2015/04/silk-road-1/

Part deux: https://www.wired.com/2015/05/silk-road-2/

[Xtrema]

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Did they actually liquidate it? Only thing I read was that they had found a way to get access and seized it. I was just trying to figure this all out, it makes no sense for BTC to go on a 20% rally right as they're liquidating a billion dollars worth. I had figured the market must assume this billion dollars will never be seen again as the government holds it and doesn't know what to do with it.

I would hold on the BTC vs US Dollars if I am the government that's devaluing the currency.

Plus the black ops it could fund.