The post Seized Bitcoin Worth $378M Locked: Ireland’s Crime Bureau Missing Private Keys appeared first on Coinpedia Fintech News
Ireland’s Criminal Assets Bureau (CAB) is facing a major roadblock. Back in 2019, they seized $378 million worth of Bitcoin from Clifton Collins, a convicted drug dealer. However, despite holding such a valuable amount of cryptocurrency, they can’t access it because the keys to the wallets are lost.
How the Bitcoin Got Locked
Collins, who was running a cannabis-growing operation, had invested in Bitcoin during 2011 and 2012 when the cryptocurrency’s value was much lower. To protect his growing fortune, he divided the Bitcoin into 12 virtual wallets. He then wrote the access codes on a piece of paper, which he stored inside a fishing rod case at one of his rented properties.
When Collins was arrested, he claimed that the fishing rod case had either been lost during a property cleanout or stolen after a break-in at his home. Without those access codes, neither Collins nor the authorities can get into the wallets to retrieve the Bitcoin.
From $56 Million to $378 Million
At the time of the seizure, the Bitcoin was worth approximately $56 million, a substantial amount even then. However, the value of Bitcoin has since skyrocketed, bringing the total worth of the locked Bitcoin to $378 million. CAB officials hope that advances in technology may one day provide a way to access the funds.
While most of the Bitcoin is still out of reach, Collins was forced to surrender assets worth €1.2 million as part of a settlement. These included €1 million in Bitcoin he could still access, along with a Gyro aircraft, a camper van, and a fishing boat.
CAB’s Success Despite Challenges
Despite the struggle with Collins’ Bitcoin, CAB has successfully recovered other assets. In 2023, the agency returned €8.6 million to the exchequer, marking the largest amount recovered in 15 years. However, the inaccessible $378 million in Bitcoin remains a significant hurdle for the bureau.