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Mt. Gox, other Bitcoin exchanges probed for Silk Road links
It keeps getting worse for ol’ Gox.
Manhattan federal prosecutors served subpoenas to several Bitcoin exchanges this winter, demanding customer-transaction logs and materials related to the solicitation of investors. The investigation is reportedly in an early stage.
The Journal also reports that prosecutors and FBI agents are examining whether Mt. Gox and other major exchanges processed transactions connected to Silk Road. They almost certainly did, of course, as the major online exchanges were regularly used by prominent Silk Roaders along with offline exchanges like LocalBitcoins.com.
The newly unveiled investigation follows Mt. Gox’s suspension of trading in February after the disappearance of approximately $470 million worth of bitcoins.
H/T Wall Street Journal | Photo via Flickr/Zach Copley (CC BY-SA 2.0)
Patrick Howell O'Neill is a notable cybersecurity reporter whose work has focused on the dark net, national security, and law enforcement. A former senior writer at the Daily Dot, O'Neill joined CyberScoop in October 2016. I am a cybersecurity journalist at CyberScoop. I cover the security industry, national security and law enforcement.