S. Korean Local Court Confiscates 191 Bitcoin

It was the first time for a local enforcement agency in South Korea to confiscate cryptocurrency which was gained from illegal activities
01 February 2018   911

The Suwon District Court ruled on Wednesday to seize 191 Bitcoins (~1 833 600$), as the profits were illegally obtained. The case concerned a person surnamed Ahn, who was indicted for operating adult sites, which is illegal in South Korea. The sites had 1.4 million registered members. 

Ahn was arrested last year for taking membership fees with Bitcoins, which the court believes is illegal. The Southern Gyeonggi Provincial Police Agency seized Ahn's 191 Bitcoin. It was the first time for a local enforcement agency to confiscate cryptocurrency which was gained from illegal activities in South Korea.

The court regarded cryptocurrencies as "actual assets," which have monetary value. The ruling added the criminal profit prevention law includes all types of properties, not just cash but goods which have economic value based on conventional social ideas, adding that cryptocurrencies have economic value.

Attorneys said the latest ruling doesn't necessarily mean that the court has given legal authority for digital currencies or confirmed their status as official currencies. 

It is worth mentioning that the Suwon district court ruled last year that "Bitcoin is not subject to confiscation." 

The ruling just showed that cryptocurrencies are assets and law enforcement agencies can seize or confiscate them if profits are in accordance with criminal activities.


 Suk Keun-bae

An attorney at Shin and Kim law firm

We have recently reported that South Korea launched a real-name trading system for cryptocurrencies, banning the use of anonymous bank accounts in transactions to prevent cryptocurrency from being used for money laundering and other illegal activities.

US Authorities to Sell $4.3M Worth Seized BTC

As reported, the Bitcoins were seized during different federal investigations
18 October 2018   114

The US Federal Penitentiary and Marshals Service has announced an auction, during which 660 Bitcoins will be sold, previously confiscated by law enforcement agencies. The current market value of the coins put up for sale is about $ 4.3 million, CoinDesk reports.

Bitcoins offered for sale were seized during federal criminal, civil and administrative investigations.

The auction will be held on November 5, and to participate in it, you must register no later than October 31 and make a deposit of $ 200,000.

The trades will be divided into two parts and include the sale of six blocks of 100 BTC and one more block of 60 BTC. Auction participants will not be able to view other people's rates or change their own.

The Office clarified that part of the assets put up for auction includes Bitcoins, which were seized during the recent investigations into the cases of the traders Teresa Tetley and Thomas Mario Costanzo. Teresa Tetley was sentenced in July to a year in prison on charges of trading in cryptocurrency without the necessary license and laundering money obtained from drug trafficking.

The Marshals do not report which part of the bitcoins seized from Tetley and Costanzo is put up for auction, however, it was previously known that 40 BTC were withdrawn from the first, and 80 BTC from the second.

Two previous major auctions for the sale of confiscated bitcoins were held in the United States in January and March of this year. In the first case, 3813 BTC was sold, in the second - 2170 BTC.