Robert Scola, a US District judge has imposed a jail sentence on a French-Israeli citizen for running Dream Market, a Dark web drug place.
Gal Vallerius, a 36 years old man apprehended by police at an airport in 2017. This happened while he was attending the World Beard and Moustache Championship in Texas. The culprit is also known as “Oxymonster”, who was running a hub for selling drugs in exchange of cryptocurrencies that includes BTC and BTC Cash. His prison term will begin in Southern Florida after being proved wrong in money laundering and drugs trafficking.
The culprit admitted that he was selling oxycodone, heroin, cocaine, Ritalin, fentanyl on Dream Market in exchange for BTC and BTC cash. The police have seized bitcoins and bitcoin cash worth $700,000 which includes 100 BTC and 121.95 BCH.
Now the question is – What will happen to that big amount collected from him?
The government is familiar with such situations. In 2015, Ross Ulbricht, creator of Silk Road, was sentenced to jail and the government took 144,336 BTC from his computer. The time when the price of 1 BTC was over $300, the government took that asset and auctioned it which led to over $48 million selling. Later, many criticized the government’s actions which prevented more earning.
As per the sources, Vallerius have to give the government access to his computer by giving the passwords of his machines. It is still unknown if there will be another auction like Silk Road, or there will be a delay in auctions till the market show up in the prices.
In 2017, US District Court also seized cryptocurrency worth over $8 million from Alexandre Cazes, who later committed suicide after being proved involved in running a dark web market like AlphaBay. As more cases are expected to come under this crime, the U.S. government might have to deal with regular auctions.