A man who once held over $3bn worth of bitcoin taken from the notorious Silk Road marketplace has pleaded guilty to wire fraud and been forced to forfeit his crypto assets, the US Department of Justice said on Monday.
James Zhong’s actions date back to September 2012 when he unlawfully obtained over 50,000 bitcoins from the now-infamous dark web site that accepted the cryptocurrency in exchange for drugs and other illicit items.
The announcement is the latest indication that law enforcement agencies are becoming more sophisticated in cracking down on unlawful activity in a crypto industry that has grown significantly since the Silk Road marketplace was shut down in 2013.
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