According to the reports, the Silk Road online black market probably ties with the almost $ 1 billion worth of bitcoin. In 2013, U.S. Federal had closed the Silk Road and two years later Ross Ulbricht, its creator was sentenced to life in prison.

The site, hidden away as a component of a benighted web, allows people to do criminal activities like selling drugs and other illegal goods. On Wednesday, a firm that tracks the movement of black money in the cryptocurrency domain said that it fetched transactions of funds that are believed to have arisen from the site.

As per the reports, from a wallet that had the fourth highest balance, around 69,369 bitcoins having a value of $950 million have been moved out. It further added that there is an encrypted file which is being circulated among the hackers, apparently containing the passcode needed for the withdrawal of bitcoins from the wallet.

In future, the movement of these bitcoins may represent the movement of Ulbricht’s or Silk Road's funds. Although, it seems like Ulbricht would be able to conduct it’s bitcoin transactions from prison.

It is also reported that the Federal Bureau of Investigation seized 1,74,000 bitcoins from Ulbricht. Moreover, 4,40,000 bitcoins were obtained from Silk Road Commissions. When CNBC called the FBI, they were not available promptly for comment.

With the increased interest of major companies like PayPal and Facebook in cryptocurrencies, bitcoin is climbing 91% year-to-date. But it has become the target of inspection of bankers and regulators due to its use in illegal activities like cyber fraud and money laundering.

Chainalysis are selling analytics tools that permit banks and virtual currency exchanges to block doubtful transactions with the purpose of bringing legitimacy to the cryptocurrency industry. This would benefit the crypto market and would also prevent criminal activities like money laundering and cyber frauds.

Crypto Business World

CBW - External Analyst

INDIA