US Authorities Missed Millions of Dollars in Seized Crypto Wallets

Coinfirm says that the law enforcement agencies have left substantial funds on crypto wallets seized from criminals.

Coinfirm, blockchain analytics and anti-money laundering (AML) solutions provider has discovered that the US authorities have failed to identify millions of dollars worth of forked cryptos in criminal seizures over the past few years.

In a published report, the company mentioned that missed funds may still be within the reach of criminals as they can access those funds if they have private keys of the wallet. According to a self-funded investigation conducted by the firm, the law enforcement agencies may have missed around $400K in the recent $1 billion bitcoin seizure from a Silk Road wallet.

The US Department of Justice (DOJ) announced on 5 November that it had seized more than $1 billion worth of stolen bitcoin from an anonymous user named ‘Individual X’ who kept bitcoin in a wallet associated with darknet Silk Road.

According to the report, a total of 693701 Bitcoin Diamond, 69370 Super Bitcoin, and 69370 Bitcoin Private are still in the wallet and the person who has access to the private keys of the main wallet can access these funds.

Coinfirm introduced a new service in October to help clients recover their forked tokens. Dubbed ‘Reclaim Fork’, the new service aims to recover more than $300 million in BTC forked tokens. Commenting on the recent development, Pawel Kuskowski, CEO and Co-founder at Coinfirm, said: “We believe that customer protection and market integrity is critical for the long-term value of the crypto market. Forked coins so far are an unaddressed gap on the market. We are proud to release this latest product as we are certain this will be of great benefit to the blockchain community.”

Finance Magnates earlier reported that a well-known crypto recovery attorney in the US, David Silver joined Coinfirm as a member of its Board of Directors in the US. The company has been able to recover funds from leading exchanges in the past.


By Bilal Jafar, November 24, 2020, published on Finance Magnates

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