Interestingly, keeping your cryptocurrencies on the shelves might not be a good idea especially when you have a background on the dark web.
Canada’s Largest Bitcoin Forfeiture
As recently reported by The Toronto Star, Matthew Phan, a 30-year old drug dealer based in Canada, was ordered by the Toronto court to give up all his bitcoins– allegedly involved in his crimes.
With the total number of 281.41 bitcoins (worth exactly $1.41 million), Toronto court headed by Superior Court Justice Jane Kelly ordered Phan to submit all his owned bitcoins as the court believes that these cryptocurrencies were used as an instrument to his crimes.
“There is overwhelming evidence to suggest that Mr. Phan was using the dark markets to purchase illegal items such as firearms and silencers. It is clear from the evidence found during searches, particularly of his condominium unit, that he was conducting a large sales operation of illegal narcotics,”
“It is a reasonable inference to draw that payment for such illegal narcotics sales was made using bitcoin that was found in the digital wallet on Mr. Phan’s computer” using the online marketplaces Evolution and Agora, which Kelly narrated in the court.
Crypto Transactions On The Dark Web
Giving a little background on Phan’s criminal record. In 2015, the police arrested Phan due to his crimes of possesing illegal drugs and importing handguns wherein he later on admitted on his guilty plea, happened in late December.
After the authorities laid their investigation in the suspect’s house, they found out that Phan were also transacting bitcoin on his computer– resulting on having 288 worth of bitcoin tokens on his wallet. At the time, his bitcoin’s value cost only $88,000, reaching a surge worth $7 million in 2017.
Now that bitcoin had risen its value of $4,000 per token, the government of Toronto thinks that Phan’s ownership on these virtual currencies must be held in order to stop the trafficking of illegal items– wherein it was proven that bitcoins (not accurate on the amount) were actually used by him during his crimes.
‘Not All of Them Were Used’
As a defense on Phan’s side, the 30-year old man stated that only some of his bitcoins were used in the course of his illegal traffickings but most of them, were transacted properly in the law such as buying and selling gold or transacting to other types of cryptocurrencies.
Still, Supreme Court Justice, Kelly remained on her stance to legally
The court still waits for other investigations on the said crime and Phan’s jail sentence is still on the line.