UK Police raise over $300,000 Auctioning seized crypto

On 1 October 2019, CNBC reported that the UK’s Eastern Region Special Operations Unit (ERSOU) auctioned off $300,000 worth of crypto that was amassed by a hacker who provided hacking services and illegal personal information in exchange for cryptocurrency.

The UK’s ERSOU sold off the digital assets that included Ether Bitcoin and Ripple on 25 and 26 September. Wilson Auctions orchestrated the sale that marked the first time for the UK Police to carry out an asset recovery order by auctioning seized cryptocurrency.

According to the ERSOU press, the money raised from the auction will be invested in a further effort for crime prevention.

The Crypto Auction

The crypto assets were seized from a convicted hacker who illegally exchanged hacking services and online personal user information, for payment in cryptocurrency worth thousands of pounds. ERSOU’s Detective Chief Inspector for Cyber Crime Unit, Martin Peter stated;

“Asset recovery in a digital world has evolved, so it is important that we have a clear process for the storage and sale of cryptocurrency. This goes to show there is no place to hide criminal assets- we are constantly developing out techniques and capabilities to ensure that proceeds of crime are either given back to the rightful owner or, as in this case, are reinvested in crime.”

Wilson Auctions separated the auction into 62 sales and received over 7,500 bids from all over the world, including the US, Australia, South America, and Asia. Bitcoin sale price reached £6798.80. 

ERSOU supervised the auction and confirmed all bidders to be regulatory-compliant, and approved, by performing background checks on all participants. 

Seized Cryptocurrency Auctions Trend Going Global

The ERSOU joins other international regulatory authorities in fighting cybercrimes through the auctioning of digital assets.

Last year, The US marshal Office auctioned off Bitcoin worth roughly $18.7 million to two bidders. The Bitcoins were part of a confiscated consignment in connection with criminal cases related to federal trials and the drug enforcement agency.In March 2019, the Belgian government, through Wilson Auctions sold off £550, 000 worth of seized bitcoin, which reported to be seized from drug dealers.