The Silk Road was the first large-scale use case for Bitcoin as a censorship-resistant currency. Its 2013 bust brought global attention to cryptocurrency, linking BTC to illicit activities.
Silk Road and Its Creator
Silk Road was launched in 2011 by Ross Ulbricht, known as 'Dread Pirate Roberts'. This darknet marketplace facilitated anonymous transactions using Bitcoin as its sole currency.
Bitcoin's Role in Silk Road
Bitcoin became the preferred payment method due to its pseudonymous design and lack of centralized control. It was the first time many people heard of BTC, though in a highly controversial context.
The Takedown and Its Aftermath
In October 2013, the FBI shut down Silk Road and arrested Ross Ulbricht in San Francisco. Over 144,000 BTC were seized. Ulbricht was sentenced to two life terms plus 40 years, sparking debates about fairness and technology ethics.
The 2013 Silk Road bust not only revealed the first large-scale use of Bitcoin but also initiated discussions on crypto regulation and transaction tracking technologies.
