One of the latest seizures amounts to $56 million worth of cryptocurrency that authorities seized as part of a Ponzi scheme case involving offshore digital currency lending program BitConnect. This seizure will proceed to be auctioned.
However, unlike other auctions, where the proceeds are redistributed to different government agencies, the cash from this cryptocurrency sale will be used to reimburse victims of fraud.
The United States government tries to fight cybercrime in this new world of cryptocurrencies, which has emerged not long ago and is at its peak both positively and negatively.
In recent years, the American government has uncovered numerous cases of cybercrime-related to the crypto world. It has managed to return stratospheric amounts of cryptocurrencies to the state coffers.
Yet, experts say, ” government is often more than a few steps behind criminals when it comes to innovation and technology,” says Jud Welle, a former federal prosecutor for network crimes. It is not an easy task despite the amount of money they manage to recover.
And it is that this process of seizure and subsequent sale of cryptocurrencies (to convert it into fiat currency) of the government, is growing so fast that it has just requested the help of the private sector to manage the storage and sales of tokens.
As cybercrime increases, and the relationship with the world of cryptocurrencies, the cryptographic coffers of the American government are expected to increase even more with each passing year.