Criminal Assets Bureau Holds Seized Cryptocurrency Worth €350 Million Unreachable
Cryptocurrency Seized from Drug Dealer Unaccessible for Over Five Years
The Criminal Assets Bureau (Cab) is facing a dilemma with seized cryptocurrency worth nearly €350 million that they are unable to access. The bitcoin, held in 12 wallets, remains unopened and uncashed more than five years after being confiscated from a drug dealer.
Origin of the Seized Cryptocurrency
The cryptocurrency, initially valued at €53 million, was discovered by the Garda during an operation targeting Clifton Collins in 2019. Collins, a former beekeeper involved in drug trafficking, had invested part of his earnings in bitcoin when its value was significantly lower in 2011 and 2012. As the value of bitcoin skyrocketed, Collins dispersed his wealth across 12 virtual wallets, protecting each with unique digital keys.
The Lost Digital Keys
Unfortunately, the digital keys to unlock the bitcoin wallets were stored in a document hidden by Collins in a fishing rod case at a rented property in Co Galway. Following a break-in at his home and subsequent property clear-out after his arrest, the document containing the digital keys went missing, rendering the cryptocurrency inaccessible.
Similar Cases around the World
Collins’ case is not unique, as individuals worldwide have faced challenges accessing their digital assets due to lost digital keys. This growing issue highlights the importance of securely storing and managing cryptocurrency.
Criminal Activities and Seizure of Assets
Collins’ criminal activities led to the discovery of his drug operations across multiple rented properties. He surrendered assets worth €1.2 million, including bitcoin, a Gyro aircraft, a camper van, and a fishing boat, to the State as proceeds of crime.
Significant Return of Assets to the Exchequer
Minister for Justice Helen McEntee disclosed that the Criminal Assets Bureau returned €8.6 million to the exchequer in 2023, the largest amount in 15 years. This substantial sum stemmed from various cases handled by Cab, emphasizing their commitment to fighting crime and recovering illicit assets.
