LATVIA, Russia – The State Revenue Service or SRS of Latvia held confiscated Bitcoins, which were allegedly obtained illegally. However, the obtained value is still in a criminal’s wallet. Specialists showed their worries regarding the risk of the vanishing money as officials contend that solely government agencies can access the said wallet.
The tax administration’s declaration came when a court in Riga decided that the digital asset in October was tangled in illegal activity. A condemned individual should impound it. Prosecuting attorneys suspected that cryptocurrency was attained unlawfully, wherein it’s utilized for payments between offenders. As per Inese Lindberga, an attorney from Kurzeme District said in the Latvian channel TV3 that the obtained proof gave adequate reason to accomplish that the digital asset was attained in a wrong way, and it’s linked to a criminal deed.
SRS took months before they were able to hold the cryptocurrency value. Primarily, the tax representatives were not prepared to reveal excessive information regarding their first try at grasping digital assets and abstained from official remarks on the situation. The expert states that it has attained the access particulars to the said wallet, and satisfied the court demand. It stays uncertain if the SRS has the password, or the seed phrase, or both. However, the crypto value can be detained by several people concurrently. Furthermore, the agency doesn’t believe the tokens must be conveyed anywhere else. Hence, the repossessed cryptocurrency stays in the original virtual wallet utilized by the offenders.
As per the news outlet Jauns.lv, Kirill Solovyov, an IT expert, noted that SRS representatives were fortunate because they received access to the virtual wallet. However, it’s odd as per him that Bitcoin is kept in the same digital wallet. There’s a probability that the imprisoned owner still remembers the password. Regardless of the noticeable risk for the virtual cash, an official from SRS said that they have the assurance that no one, aside from government organizations, will utilize the virtual wallet.
The income service of the Baltic country doesn’t identify any tokens as digital assets, yet it categorizes decentralized digital assets like property. The wallet has an estimate of 0.022 BTC, which is worth €215. It has been placed for public auction already. People or entities that are fascinated in purchasing the digital asset can file a request with the SRS to get the digital wallet with the crypto if it’s still in the wallet.
The instance in Latvia isn’t the first case connecting the digital asset sale, or a confiscated Bitcoin, detained by a government organization, wherein the value is insignificant. However, the story displays that representatives in several countries may lack awareness.