- Zhong could trick the DNM’s withdrawal mechanism into delivering 50,000 BTC.
- Fake accounts were established by Zhong particularly with regards to the hack.
Based on the New You are able to Department of Justice, U.S. District Judge Paul G. Gardephe sentenced James Zhong to some year imprisonment after researching the government’s intends to sell 41,000 grabbed bitcoin (BTC) this twelve months and also the purchase of 9,861.1707894 BTC on March 14, 2023.
By establishing nine different Silk Road accounts and initiating 140 separate transactions, Zhong could trick the DNM’s withdrawal mechanism into delivering 50,000 BTC to addresses under his control.
No Legitimate Purchases on Silk Road
Fake accounts were established by Zhong particularly with regards to transporting the hack he never made any legitimate purchases on Silk Road. Scientific study has calculated that the internet well over 50,000 BTC was acquired for around between 200 and 2000 BTC.
Earlier, in August 2017, when Bitcoin was split, Zhong earned 50,000 Bitcoin cash (BCH), that they quickly traded in with an worldwide cryptocurrency marketplace for 3,500 BTC. Zhong’s home in Gainesville, Georgia were built with a hidden safe within the basement which was uncovered after a little blankets along with a Cheetos popcorn container were removed.
On three consecutive instances, federal officials required over 51,351.89785803 bitcoin, plus a stockpile of gold and silver and $661,900 in cash. Officials also acquired 80% of RE&D Investments, a Memphis company with major property assets, from Zhong.
The Brand New You are able to Department of Justice, the Irs (IRS), the la Field Office from the IRS Criminal Analysis Division’s Western Cyber Crimes Unit, and also the Athens-Clarke County Police Department counseled me involved in the situation of 32-year-old Zhong, who pled guilty to wire fraud.
