The Irish Criminal Assets Bureau (CAB) is facing significant challenges in gaining access to €350 million or approximately $383 million worth of Bitcoin (BTC) seized from a former drug dealer.
The cryptocurrency, currently stored in 12 separate purseshas become a bone of contention for the Irish agency, which has been unable to free the assets for more than five years since the initial seizure.
Seized Bitcoin remains locked
According to local media reportsBitcoin was seized from Clifton Collins, a 53-year-old former beekeeper from Dublin, who was involved in a ‘large-scale’ cannabis operation. Collins managed to avoid police attention for years, until a chance encounter in 2017 led to his arrest.
During a routine patrol, the Gardaí – the name given to the country’s national police force – reportedly discovered €2,000 worth of cannabis in Collins’ car, sparking a wider investigation that revealed his “extensive drug growing operations” in several rented properties brought the light.
Collins had initially invested in Bitcoin during its early years, around 2011 and 2012, when its value was significantly lower. Like the cryptocurrency As popularity, adoption and value soared, he chose to secure his growing wealth by dividing it across multiple virtual wallets.
Police allege Collins “meticulously” documented the digital keys needed to access these wallets and stored the information in a fishing rod case at one of his rental properties in County Galway.
However, following a burglary at his home, Collins claimed he never saw the business again, creating a barrier to accessing his considerable Bitcoin. possessions. The loss of this vital information means the agency is now sitting on a digital fortune that it cannot unlock.
Clifton Collins sentenced to five years
From an initial value of €53 million at the time of the seizure, the value of the seized assets has increased to €350 million, reflecting the increasing financial interests involved.
Collins was eventually sentenced by the country’s authorities to five years in prison and later forfeited assets worth €1.2 million, including €1 million worth of Bitcoin to which he still had access codes.
In its latest annual report, the Irish Criminal Assets Bureau revealed that it has returned €8.6 million to the Irish Exchequer in 2023, the highest amount in fifteen years, from a range of cases, including cases involving digital assets.
At the time of writing, the market’s largest cryptocurrency was trading at $61,740, having lost its key support at $62,000 for BTC’s prospects for further price recovery due to a 1.4% retracement within a 24-hour time frame.
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