<s>
It	O
was	O
launched	O
in	O
2011	O
by	O
its	O
American	O
founder	O
Ross	O
Ulbricht	O
under	O
the	O
pseudonym	O
"	O
Dread	O
Pirate	O
Roberts	B-Protocol
"	O
.	O
</s>
<s>
As	O
part	O
of	O
the	O
dark	O
web	O
,	O
Silk	O
Road	O
operated	O
as	O
a	O
hidden	O
service	O
on	O
the	O
Tor	B-Application
network	I-Application
,	O
allowing	O
users	O
to	O
buy	O
and	O
sell	O
products	O
and	O
services	O
between	O
each	O
other	O
anonymously	O
.	O
</s>
<s>
All	O
transactions	O
were	O
conducted	O
with	O
bitcoin	B-General_Concept
,	O
a	O
cryptocurrency	O
which	O
aided	O
in	O
protecting	O
user	O
identities	O
.	O
</s>
<s>
Between	O
February	O
2011	O
and	O
July	O
2013	O
,	O
the	O
site	O
facilitated	O
sales	O
amounting	O
to	O
9,519,664	O
Bitcoins	B-General_Concept
.	O
</s>
<s>
Silk	O
Road	O
was	O
operated	O
by	O
the	O
pseudonymous	O
"	O
Dread	O
Pirate	O
Roberts	B-Protocol
"	O
(	O
named	O
after	O
the	O
fictional	O
character	O
from	O
The	O
Princess	O
Bride	O
)	O
,	O
who	O
was	O
known	O
for	O
espousing	O
libertarian	O
ideals	O
and	O
criticizing	O
regulation	O
.	O
</s>
<s>
On	O
23	O
June	O
2013	O
,	O
it	O
was	O
first	O
reported	O
that	O
the	O
DEA	O
seized	O
11.02	O
bitcoins	B-General_Concept
,	O
then	O
worth	O
a	O
total	O
of	O
$814	O
,	O
which	O
the	O
media	O
suspected	O
was	O
a	O
result	O
of	O
a	O
Silk	O
Road	O
honeypot	O
sting	O
.	O
</s>
<s>
Due	O
,	O
in	O
part	O
,	O
to	O
off-duty	O
research	O
conducted	O
by	O
IRS	O
criminal	O
investigator	O
Gary	O
Alford	O
,	O
Ross	O
Ulbricht	O
was	O
alleged	O
by	O
the	O
FBI	O
to	O
be	O
the	O
founder	O
and	O
owner	O
of	O
Silk	O
Road	O
and	O
the	O
person	O
behind	O
the	O
pseudonym	O
"	O
Dread	O
Pirate	O
Roberts	B-Protocol
"	O
(	O
DPR	O
)	O
.	O
</s>
<s>
Ulbricht	O
was	O
indicted	O
on	O
charges	O
of	O
engaging	O
in	O
a	O
continuing	O
criminal	O
enterprise	O
,	O
distributing	O
narcotics	O
,	O
distributing	O
narcotics	O
by	O
means	O
of	O
the	O
Internet	O
,	O
and	O
four	O
conspiracy	O
charges	O
related	O
to	O
distribution	O
of	O
narcotics	O
,	O
computer	O
hacking	B-Application
,	O
money	O
laundering	O
,	O
and	O
false	O
identity	O
documents	O
.	O
</s>
<s>
The	O
FBI	O
initially	O
seized	O
26,000	O
bitcoins	B-General_Concept
from	O
accounts	O
on	O
Silk	O
Road	O
,	O
worth	O
approximately	O
$3.6	O
million	O
at	O
the	O
time	O
.	O
</s>
<s>
An	O
FBI	O
spokesperson	O
said	O
that	O
the	O
agency	O
would	O
hold	O
the	O
bitcoins	B-General_Concept
until	O
Ulbricht	O
's	O
trial	O
finished	O
,	O
after	O
which	O
the	O
bitcoins	B-General_Concept
would	O
be	O
liquidated	O
.	O
</s>
<s>
In	O
October	O
2013	O
,	O
the	O
FBI	O
reported	O
that	O
it	O
had	O
seized	O
144,000	O
bitcoins	B-General_Concept
,	O
worth	O
$28.5	O
million	O
,	O
and	O
that	O
the	O
bitcoins	B-General_Concept
belonged	O
to	O
Ulbricht	O
.	O
</s>
<s>
Marshals	O
Service	O
sold	O
29,657	O
bitcoins	B-General_Concept
in	O
10	O
blocks	O
in	O
an	O
online	O
auction	O
,	O
estimated	O
to	O
be	O
worth	O
$18	O
million	O
at	O
contemporary	O
rates	O
and	O
only	O
about	O
a	O
quarter	O
of	O
the	O
seized	O
bitcoins	B-General_Concept
.	O
</s>
<s>
Another	O
144,342	O
bitcoins	B-General_Concept
were	O
kept	O
which	O
had	O
been	O
found	O
on	O
Ulbricht	O
's	O
computer	O
,	O
roughly	O
$87	O
million	O
.	O
</s>
<s>
Tim	O
Draper	O
bought	O
the	O
bitcoins	B-General_Concept
at	O
the	O
auction	O
with	O
an	O
estimated	O
worth	O
of	O
$17	O
million	O
,	O
to	O
lend	O
them	O
to	O
a	O
bitcoin	B-General_Concept
start-up	O
called	O
Vaurum	O
which	O
is	O
working	O
in	O
developing	O
economies	O
of	O
emerging	O
markets	O
.	O
</s>
<s>
Ulbricht	O
's	O
lawyers	O
contended	O
that	O
Dread	O
Pirate	O
Roberts	B-Protocol
was	O
really	O
Mark	O
Karpelès	O
,	O
and	O
that	O
Karpelès	O
set	O
up	O
Ulbricht	O
as	O
a	O
fall	O
guy	O
.	O
</s>
<s>
Ulbricht	O
's	O
attorney	O
suggested	O
that	O
the	O
documents	O
and	O
chat	O
logs	O
were	O
planted	O
there	O
by	O
way	O
of	O
BitTorrent	B-Protocol
,	O
which	O
was	O
running	O
on	O
Ulbricht	O
's	O
computer	O
at	O
the	O
time	O
of	O
his	O
arrest	O
.	O
</s>
<s>
On	O
4	O
February	O
2015	O
,	O
the	O
jury	O
convicted	O
Ulbricht	O
of	O
seven	O
charges	O
,	O
including	O
charges	O
of	O
engaging	O
in	O
a	O
continuing	O
criminal	O
enterprise	O
,	O
narcotics	O
trafficking	O
,	O
money	O
laundering	O
,	O
and	O
computer	O
hacking	B-Application
.	O
</s>
<s>
In	O
February	O
2013	O
,	O
an	O
Australian	O
cocaine	B-Application
and	O
MDMA	O
(	O
"	O
ecstasy	O
"	O
)	O
dealer	O
became	O
the	O
first	O
person	O
to	O
be	O
convicted	O
of	O
crimes	O
directly	O
related	O
to	O
Silk	O
Road	O
,	O
after	O
authorities	O
intercepted	O
drugs	O
that	O
he	O
was	O
importing	O
through	O
the	O
mail	O
,	O
searched	O
his	O
premises	O
,	O
and	O
discovered	O
his	O
Silk	O
Road	O
alias	O
in	O
an	O
image	O
file	O
on	O
his	O
personal	O
computer	O
.	O
</s>
<s>
On	O
3	O
November	O
2020	O
,	O
after	O
years	O
of	O
inactivity	O
,	O
observers	O
of	O
the	O
bitcoin	B-General_Concept
blockchain	O
detected	O
that	O
two	O
transactions	O
totaling	O
69,370	O
bitcoin	B-General_Concept
and	O
bitcoin	B-Protocol
cash	I-Protocol
,	O
worth	O
approximately	O
$1	O
billion	O
in	O
total	O
at	O
the	O
time	O
of	O
transfer	O
,	O
had	O
been	O
made	O
from	O
a	O
bitcoin	B-General_Concept
address	O
associated	O
with	O
the	O
Silk	O
Road	O
.	O
</s>
<s>
According	O
to	O
a	O
press	O
release	O
by	O
the	O
U.S.	O
Attorney	O
's	O
Office	O
of	O
the	O
Northern	O
District	O
of	O
California	O
,	O
the	O
bitcoin	B-General_Concept
wallet	O
belonged	O
to	O
an	O
"	O
Individual	O
X	O
"	O
who	O
had	O
originally	O
acquired	O
the	O
bitcoins	B-General_Concept
by	O
hacking	B-Application
the	O
Silk	O
Road	O
.	O
</s>
<s>
Over	O
the	O
two-and-a-half	O
years	O
in	O
which	O
the	O
website	O
is	O
in	O
operation	O
,	O
it	O
generated	O
$183	O
million	O
in	O
sales	O
and	O
$13	O
million	O
in	O
commissions	O
,	O
based	O
on	O
the	O
value	O
of	O
bitcoin	B-General_Concept
at	O
the	O
time	O
of	O
transactions	O
.	O
</s>
<s>
Due	O
to	O
the	O
significant	O
rise	O
in	O
bitcoin	B-General_Concept
value	O
over	O
that	O
period	O
,	O
the	O
revenue	O
and	O
commission	O
are	O
also	O
sometimes	O
reported	O
as	O
$1.2	O
billion	O
and	O
$80	O
million	O
,	O
respectively	O
.	O
</s>
<s>
Buyers	O
and	O
sellers	O
conducted	O
all	O
transactions	O
with	O
bitcoins	B-General_Concept
(	O
BTC	O
)	O
,	O
a	O
cryptocurrency	O
that	O
provides	O
a	O
certain	O
degree	O
of	O
anonymity	O
.	O
</s>
<s>
Silk	O
Road	O
held	O
buyers	O
 '	O
bitcoins	B-General_Concept
in	O
escrow	O
until	O
the	O
order	O
had	O
been	O
received	O
and	O
a	O
hedging	O
mechanism	O
allowed	O
sellers	O
to	O
opt	O
for	O
the	O
value	O
of	O
bitcoins	B-General_Concept
held	O
in	O
escrow	O
to	O
be	O
fixed	O
to	O
their	O
value	O
in	O
US$	O
at	O
the	O
time	O
of	O
the	O
sale	O
to	O
mitigate	O
against	O
Bitcoin	B-General_Concept
's	O
volatility	O
.	O
</s>
<s>
Any	O
changes	O
in	O
the	O
price	O
of	O
bitcoins	B-General_Concept
during	O
transit	O
were	O
covered	O
by	O
Dread	O
Pirate	O
Roberts	B-Protocol
.	O
</s>
<s>
The	O
complaint	O
published	O
when	O
Ulbricht	O
was	O
arrested	O
included	O
information	O
the	O
FBI	O
gained	O
from	O
a	O
system	B-Operating_System
image	I-Operating_System
of	O
the	O
Silk	O
Road	O
server	O
collected	O
on	O
23	O
July	O
2013	O
.	O
</s>
<s>
The	O
total	O
revenue	O
generated	O
from	O
these	O
sales	O
was	O
9,519,664	O
Bitcoins	B-General_Concept
,	O
and	O
the	O
total	O
commissions	O
collected	O
by	O
Silk	O
Road	O
from	O
the	O
sales	O
amounted	O
to	O
614,305	O
Bitcoins	B-General_Concept
.	O
</s>
<s>
The	O
Farmer	O
's	O
Market	O
was	O
a	O
Tor	B-Application
site	O
similar	O
to	O
Silk	O
Road	O
,	O
but	O
which	O
did	O
not	O
use	O
bitcoins	B-General_Concept
.	O
</s>
<s>
Sites	O
named	O
'	O
Atlantis	O
 '	O
,	O
closing	O
in	O
September	O
2013	O
,	O
and	O
Project	O
Black	O
Flag	O
,	O
closing	O
in	O
October	O
2013	O
,	O
each	O
stole	O
their	O
users	O
 '	O
bitcoins	B-General_Concept
.	O
</s>
<s>
Silk	O
Road	O
had	O
a	O
Tor-based	O
book	O
club	O
that	O
continued	O
to	O
operate	O
following	O
the	O
initial	O
site	O
's	O
closure	O
and	O
even	O
following	O
the	O
arrest	O
of	O
one	O
of	O
its	O
members	O
.	O
</s>
<s>
Reading	O
material	O
included	O
conspiracy	O
theories	O
and	O
computer	O
hacking	B-Application
.	O
</s>
<s>
This	O
book	O
club	O
still	O
exists	O
as	O
a	O
private	O
Tor-based	O
chatroom	O
.	O
</s>
<s>
On	O
6	O
November	O
2013	O
,	O
administrators	O
from	O
the	O
closed	O
Silk	O
Road	O
relaunched	O
the	O
site	O
,	O
led	O
by	O
a	O
new	O
pseudonymous	O
Dread	O
Pirate	O
Roberts	B-Protocol
,	O
and	O
dubbed	O
it	O
"	O
Silk	O
Road	O
2.0	O
"	O
.	O
</s>
<s>
Around	O
this	O
time	O
,	O
the	O
new	O
Dread	O
Pirate	O
Roberts	B-Protocol
abruptly	O
surrendered	O
control	O
of	O
the	O
site	O
and	O
froze	O
its	O
activity	O
,	O
including	O
its	O
escrow	O
system	O
.	O
</s>
<s>
On	O
13	O
February	O
2014	O
,	O
Defcon	O
announced	O
that	O
Silk	O
Road	O
2.0	O
'	O
s	O
escrow	O
accounts	O
had	O
been	O
compromised	O
through	O
a	O
vulnerability	O
in	O
Bitcoin	B-General_Concept
protocol	I-General_Concept
called	O
"	O
transaction	O
malleability	O
"	O
.	O
</s>
<s>
While	O
the	O
site	O
remained	O
online	O
,	O
all	O
the	O
bitcoins	B-General_Concept
in	O
its	O
escrow	O
accounts	O
,	O
valued	O
at	O
$2.7	O
million	O
,	O
were	O
reported	O
stolen	O
.	O
</s>
<s>
In	O
January	O
2015	O
,	O
Silk	B-Application
Road	I-Application
Reloaded	I-Application
launched	O
on	O
I2P	B-Protocol
with	O
multiple	O
cryptocurrency	O
support	O
and	O
similar	O
listing	O
restrictions	O
to	O
the	O
original	O
Silk	O
Road	O
market	O
.	O
</s>
