Blockchain intelligence and surveillance company Chainalysis announced the start of a new program to help governments and bankruptcy administrators sell seized cryptocurrencies. The news follows the recent seizure of more than 69,000 BTC by the U.S. government, valued at over $ 1 billion, on November 3rd.
Blockchain surveillance company Chainalysis announced the launch of a new program that will enable the recovery, storage and sale of crypto-assets that have been seized by law enforcement officers.
"The asset recovery program will help government agencies and bankruptcy practitioners manage, store, recover and monitor seized assets," Chainalysis said Thursday.
Chainalysis stated that if law enforcement agencies frequently deal with illegal cryptocurrency assets, they will not only have to seize the crypto but also store it until legal expiration.
The company believes that licensed professionals, bankruptcy administrators and governments around the world need a reliable program that is a "secure way to track, store and ultimately sell seized fiat cryptocurrency assets."
"As cryptocurrencies become more mainstream, they are increasingly used by good and bad actors alike," said Jason Bonds, chief revenue officer at Chainalysis, on Thursday. “Chainalysis has set itself the goal of building trust in digital assets. This means that illegal activity can be detected and investigated. As our government partners are more successful at rooting out bad actors, helping them recover and realize assets is a natural next step. "
The chain analysis announcement also notes that the company has partnered with a company called Asset Reality. Asset Reality asset advisory service manages seized crypto assets and the company works with global law enforcement agencies who manage “complex assets”.
The announcement also details that the chain analysis helped US law enforcement agencies "identify and investigate the cryptocurrency wallets used" in the recent seizure of Bitcoin on the Silk Road.
US law enforcement agencies have already sought help from the private sector with the storage and sale of seized crypto assets.
The launch of Chainalysis' new program follows U.S. law enforcement agencies such as the Department of Justice and the U.S. Mashal Service seeking help with storing seized cryptocurrencies.
During the Silk Road auctions years ago, the US marshals were responsible for storing and auctioning the confiscated Bitcoin cache. In April 2020, however, both agencies published an application for “Storage, Maintenance and Disposal of Seized / Expired Virtual Currencies”.
What do you think of Chainalysis and the recent program to store and sell seized crypto assets? Let us know what you think on this matter in the comments section below.
Tags in this story
Asset Reality, Asset Recovery, Auctions, Bitcoin, Bitcoin Auctions, Chain Analysis, Department of Justice, DOJ, Jason Bonds, Confiscated Bitcoin, Confiscated Crypto, Seizure, Silk Road, Silk Road Coins, Storage, US Marshals
Photo credit: Shutterstock, Pixabay, Wiki Commons, US Marshals, DoJ, beta.sam.gov,
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