Crypto
US Court Blocks 127271 Seized Bitcoin, Cites Lack of Standing for Claimants
A US court has blocked nine alleged victims from contesting the forfeiture of approximately 127,271 Bitcoin in a September 25 order.
The decision was made by Judge Rachel P. Kovner of the Eastern District of New York, who ruled that the claimants lacked Article III standing to contest the action.
The court treated these claimants' plausible allegations as establishing at most the position of general unsecured creditors, people seeking compensation without a qualifying interest in the particular assets being forfeited.
A loss tied to an alleged fraud did not establish ownership of coins in these wallets.