In a previous article, we discussed how the government may use Bitcoin as a federal reserve, while also mentioning a couple of reasons why this isn’t good news for the cryptocurrency market.

While no government throughout the world has openly admitted investing in Bitcoin, we are all well aware of the fact that the U.S. government is proud to have an amazing bitcoin reserve thanks to Silk Road criminal process, when hundreds of bitcoins were seized, and are now in the hands of the treasury. However, when does the process of seizing cryptocurrencies from those who take part in illegal activities become an illicit act itself?