Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
⭐ Merited by JayJuanGee (1)
Assuming the IRS-CI folks actually took custody of the BTC, How in THE HELL did Zhong justify storing ~50k BTC in a way so insecure that this could even happen? Maybe they only have the addresses, and the private keys are somehow secure (like maybe a simple BIP39 passphrase???).
I am all for keeping your setup simple so you don't lose the coins via complication. But there is either more to this story, or our dear "Loaded" was incredibly ill prepared.
I am all for keeping your setup simple so you don't lose the coins via complication. But there is either more to this story, or our dear "Loaded" was incredibly ill prepared.
Reading through the court document it sounds like the feds just knocked on his door and said "Give us your Bitcoins." And he said "OK." He was also ill-prepared.
...
They found some in a popcorn tin in his bathroom, and those look like casascius coins, or some other type of physical bitcoins.
https://www.bbc.com/news/technology-63547765
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The stash of 50,676 Bitcoin was found hidden on various devices in a hacker's home in an underfloor safe and inside a popcorn tin.
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Officers say they found the Bitcoin dotted around his home on hard drives and other storage devices in an underfloor safe and on a tiny computer hidden inside a popcorn tin in a bathroom closet.