DHS Witness Suggests Karpeles was the Mastermind Behind Silk road

By January 16, 2015Bitcoin Politics
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DHS Witness Suggests Karpeles was the Mastermind Behind Silk road

So the latest news in the Ulbricht case is being widely discussed on Reddit, and could be a potential game changer in the case’s outcome. On day three of the trial, Ulbricht’s defence team managed to draw out of a Department of Homeland Security witness that Mt Gox founder Mark Karpeles was the driving force behind the illegal marketplace Silk Road, and that Ulbricht gave up control of the site to Karpeles in its early days.

From the stand, Jared DerYeghiayan, a witness from the United States Department of Homeland Security, said that the DHS had:

a wealth of evidence to prove that [Karpeles] is Dread Pirate Roberts

The DHS employee said that this evidence includes the fact that the domain silkroadmarket.org was registered under a company owned and operated by Karpeles, and hosted on the same server as a number of the Mt Gox founder’s other websites.

As an interesting aside to the story, you can read a Forbes interview here in which Dread Pirate Roberts states:

I didn’t start the Silk Road, my predecessor did. From what I understand, it was an original idea to combine Bitcoin and Tor to create an anonymous market. Everything was in place, he just put the pieces together.

A mistake by Karpeles? Or just an attempt by Ulbricht’s team to introduce reasonable doubt? What do you think?

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