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by gambiting 3146 days ago
Surely, that can't be how it works though, can it? If he refused to release the key and got say 10 years of prison, he wouldn't be free to spend them after getting out of prison - after all, they are still considered stolen property. Serving the prison sentence wouldn't magically make them his.
2 comments

That is the justification for the much maligned forfeiture laws. Without them, or some other lawsuit, yes they are his.
Ok, so just for example - if I steal your car, hide it so no one can find it, go to prison for a year or two, get out.....the car is mine? Or a phone, or money, or pretty much literally anything else? A stolen property remains stolen until it's returned to its owner, it doesn't transfer ownership just because the thief served time.
No, it does not magically transfer ownership, but for what crime would you be prosecuted? You've already done time for stealing the car.
The judge will almost certainly order the return of the car (or a cash restitution) as part of the sentencing. If you don't return the car or don't pay the restitution you are in contempt of court.

More so, "possession of stolen property" is also a crime. The car doesn't magically become unstolen just because the theft went to jail.

For not returning the stolen car and using a stolen item? That's not illegal in the US? (European here)
Are you not stealing it again at that point? I'd guess that you would be charged for a similar crime, just at a different date.
What? No. Possessing stolen property is a crime.

This has absolutely nothing to do with civil forfeiture.

Civil forfeiture is when the getaway car is seized when you are robbing a bank.

Restitution is when you are ordered by a court to repay the victim for their losses that your criminal behavior caused. This case involved restitution, if he didn't comply with giving up the private keys he would be ordered to pay restitution.

Civil forfeiture doesn't impact restitution.

No, but if he managed to get the coins into an offline wallet he could in theory move to Cambodia, cash out his coins and live the rest of his life in exile.

Or if he was careful about it he could tumble his coins, and then withdraw a small amount of cash every month or so for the rest of his life while still living in the US.

And just hope the government just doesn't notice the coins leaving the wallet?