Ross William Ulbricht (born March 27, 1984) is an American serving life imprisonment for creating and operating the darknet market website Silk Road from 2011 until his arrest in 2013.[4] The site operated as a hidden service on the Tor network and facilitated the sale of narcotics and other illegal products and services.[5][6] Ulbricht ran the site under the pseudonym "Dread Pirate Roberts", after the fictional character from The Princess Bride.
Ulbricht grew up in Austin, Texas. He was a Boy Scout,[13] attaining the rank of Eagle Scout.[14] He attended West Ridge Middle School[15] and Westlake High School both in the Eanes Independent School District in the suburbs of Austin, graduating from high school in 2002.[16]
Ulbricht attended the University of Texas at Dallas on a full academic scholarship[14] and graduated in 2006 with a bachelor's degree in physics.[16] Ulbricht received an additional scholarship to attend Pennsylvania State University, where he was in a master's degree program in materials science and engineering and studied crystallography.[15] By the time Ulbricht graduated, he had become interested in libertarian economic theory and adhered to the political philosophy of Ludwig von Mises, supported Ron Paul, promoted agorism, and participated in college debates to discuss his economic views.[15][17][18] Ulbricht graduated from Penn State in 2009 and returned to Austin. He tried day trading and started a video game company but both ventures failed.[15] He eventually partnered with his friend Donny Palmertree to help build an online used book seller, Good Wagon Books.[15]
Palmertree, cofounder of Good Wagon Books, eventually moved to Dallas, leaving Ulbricht to run the bookseller by himself. Around this time, Ulbricht began planning Silk Road (initially called Underground Brokers).[19] In his personal diary, he outlined his idea for a website "where people could buy anything anonymously, with no trail whatsoever that could lead back to them."[19] Ulbricht's ex-girlfriend said, "I remember when he had the idea ... He said something about ... the Silk Road in Asia ... and what a big network it was ... And that's what he wanted to create, so he thought it was the perfect name."[20] Ulbricht alluded to Silk Road on his public LinkedIn page, where he discussed his wish to "use economic theory as a means to abolish the use of coercion and aggression amongst mankind" and claimed, "I am creating an economic simulation to give people a first-hand experience of what it would be like to live in a world without the systemic use of force."[17]
Silk Road ran as an onion service on the Tor network, which implements data encryption and routes traffic through intermediary servers to anonymize the source and destination Internet Protocol addresses. By hosting his market as a Tor site, Ulbricht could conceal the server's IP address and thus its location.[5][6]Bitcoin, a cryptocurrency, was used for transactions on the site. While all bitcoin transactions were recorded in a public ledger called the blockchain, users who avoided linking their legal names to their cryptocurrency wallets were able to conduct transactions with considerable anonymity.[21][22] Ulbricht used the "Dread Pirate Roberts" username for Silk Road, although it is disputed whether only he used that account.[23][24] He attributed his inspiration for creating the Silk Road marketplace to the novel Alongside Night and the works of Samuel Edward Konkin III.[18]
Law enforcement broke Silk Road's cover in a number of ways. A drug agency investigator infiltrated the site and became an admin, thereby gaining inside information about the site operations, and finding Ulbricht's chats showed Pacific time, narrowing down his likely location.[25] Law enforcement seized a Silk Road server in Iceland[26][27] and gained a trove of chat logs, further enriching their knowledge.[28][unreliable source?] Ulbricht was connected to "Dread Pirate Roberts" by Gary Alford, an Internal Revenue Service investigator working with the Drug Enforcement Administration on the Silk Road case, in mid-2013.[29][30] The connection was made by linking the username "altoid", used during Silk Road's early days to announce the website, and a forum post in which Ulbricht, posting under the nickname "altoid", asked for programming help and gave his email address, which contained his full name.[29] On October 1, 2013, the Federal Bureau of Investigation arrested Ulbricht at the Glen Park branch of the San Francisco Public Library and accused him of being the "mastermind" behind the site.[31][32][33]
To prevent Ulbricht from encrypting or deleting files on the laptop he was using to run the site as he was arrested, two agents pretended to be quarreling lovers. When they had sufficiently distracted him,[34] according to Joshuah Bearman of Wired, they quickly moved in to arrest him while a third agent grabbed the laptop and handed it to agent Thomas Kiernan.[35] Kiernan then inserted a flash drive into one of the laptop's USB ports, with software that copied key files.[34] Ulbricht was ordered held without bail.[33]
Trial
Image placed on Silk Road after seizure by the FBI
On February 4, 2014, Ulbricht was charged with engaging in a continuing criminal enterprise, narcotics conspiracy, conspiracy to commit money laundering, and conspiracy to commit computer hacking.[36] On August 21, 2014, a superseding indictment added three additional charges.[37] The trial began on January 13, 2015.[38] On February 4, 2015, Ulbricht was convicted on all counts after a jury trial that had taken place in January 2015.[39] On May 29, 2015, he was sentenced to double life imprisonment plus 40 years, without the possibility of parole. Ulbricht was also ordered to pay about $183 million in restitution, based on the total sales of illegal drugs and counterfeit IDs through Silk Road.[40][41][42]
Murder-for-hire allegations
Federal prosecutors alleged that Ulbricht had paid $730,000 in murder-for-hire deals targeting at least five people,[33] allegedly because they threatened to reveal the Silk Road enterprise.[43][44] Prosecutors believe no contracted killing actually occurred.[33] Ulbricht was not charged in his trial in New York federal court with murder for hire,[33][45] but evidence was introduced at trial supporting the allegations.[33][46] The district court found by a preponderance of the evidence that Ulbricht did commission the murders.[47] The evidence that Ulbricht had commissioned murders was considered by the judge in sentencing Ulbricht to life and was a factor in the Second Circuit's decision to uphold the sentence.[46] Ulbricht was separately indicted in federal court in Maryland on a single murder-for-hire charge, alleging that he contracted to kill one of his employees (a former Silk Road moderator).[48] Prosecutors moved to drop this indictment after his New York conviction and sentence became final.[49][50]
Ulbricht appealed his conviction and sentence to the U.S. Court of Appeals for the Second Circuit in January 2016, claiming that the prosecution illegally withheld evidence of DEA agents' malfeasance in the investigation of Silk Road, of which two agents were convicted.[51] Ulbricht also argued his sentence was too harsh.[52]Oral arguments were heard in October 2016,[53][46][54] and the Second Circuit issued its decision in May 2017, upholding Ulbricht's conviction and sentence in an opinion by Judge Gerard E. Lynch.[46] In a 139-page opinion,[46][55] the court affirmed the district court's denial of Ulbricht's motion to suppress certain evidence, affirmed the district court's decisions on discovery and the admission of expert testimony, and rejected Ulbricht's argument that a life sentence was procedurally or substantively unreasonable.[46][54]
In December 2017, Ulbricht filed a petition for certiorari with the U.S. Supreme Court, asking the Court to hear his appeal on evidentiary and sentencing issues.[56][57] Ulbricht's petition asked whether the warrantless seizure of an individual's internet traffic information, without probable cause, violated the Fourth Amendment, and whether the Sixth Amendment permits judges to find facts necessary to support an otherwise unreasonable sentence.[58] Twenty-one amici filed five amicus curiae briefs in support of Ulbricht, including the National Lawyers Guild, American Black Cross, Reason Foundation, Drug Policy Alliance, and Downsize DC Foundation.[59] The U.S. government filed a response in opposition to Ulbricht's petition.[59][60] On June 28, 2018, the Supreme Court denied the petition, declining to consider Ulbricht's appeal.[61]
Plea deal
In a 2020 Vanity Fair article, Nick Bilton claimed that Ulbricht had rejected a plea deal that would have potentially given Ulbricht a decade-long sentence. Bilton writes: "According to more than a dozen investigators and attorneys involved in the case who I spoke to for the book, Ulbricht's sentence could have been a lot less severe."[62] Assistant U.S. Attorney Timothy Howard, who was co-responsible for prosecuting the case, testified that "no such plea offer was ever extended to Ross William Ulbricht, or conveyed to his then-counsel" before Ulbricht's indictment. Howard stated that a plea deal with a mandatory minimum of 10 years was "discussed at the final pretrial conference on December 17, 2014", but that the maximum sentence of life imprisonment was strongly recommended based on the sentencing guideline.[63]
In 2021, Ulbricht's prosecutors and defense agreed that Ulbricht would relinquish any ownership of a newly discovered fund of 50,676 Bitcoin (worth nearly $3.4 billion in 2021) seized from a hacker in November 2021.[69] The Bitcoin had been stolen from Silk Road in 2013 and Ulbricht had been unsuccessful in getting them back. The U.S. government traced and seized the stolen Bitcoin. Ulbricht and the government agreed the fund would be used to pay off Ulbricht's $183 million debt in his criminal case, while the Department of Justice would take custody of the Bitcoin.[70][71]
Documentaries and films
Deep Web is a 2015 documentary film chronicling events surrounding Silk Road, bitcoin, and the politics of the dark web, including Ulbricht's trial. Silk Road—Drugs, Death and the Dark Web is a documentary covering the FBI operation to track down Ulbricht and close Silk Road. The documentary was shown on UK television in 2017 in the BBC Storyville documentary series.[72] The film Silk Road was released on February 19, 2021. Directed by Tiller Russell, it follows Ulbricht's creation of the website and the FBI and DEA investigations. Ulbricht is portrayed by American actor Nick Robinson.[73]
NFT sale
Ulbricht's family raised money for efforts to release him from prison via the decentralized autonomous organizationFreeRossDAO, which accepted donations from the public. In December 2021, the family auctioned a collection of his writings and artwork as an NFT, which FreeRossDAO bought for 1,442 Ethereum, worth about $6.27 million at the time.[74][67]
Calls for commutation
Ulbricht's conviction became a cause célèbre in American libertarian circles.[75] In May 2022, the Libertarian Republican Congressman Thomas Massie called for a commutation of Ulbricht's conviction.[76] The libertarian-oriented Reason Foundation attempted to raise funds, citing Ulbricht's case,[77] without taking any legal action, and 2020 Libertarian Party presidential candidate Jo Jorgensen made a campaign pledge to pardon Ulbricht.[78] In May 2024, candidate Donald Trump said that if re-elected President, he would commute Ulbricht's sentence on his first day in office.[79][80] In June 2024, presidential candidate Robert F. Kennedy Jr. made a similar promise to pardon Ulbricht, if elected.[81]Wired magazine, reporting from a 2024 Bitcoin conference in Nashville, said that clemency for Ulbricht had become a single-issue voting concern among many cryptocurrency supporters.[82] In the November 2024 issue of Reason magazine, the 2024 Libertarian candidate for president, Chase Oliver, said, "I would like to see [Trump], if he were elected, commute Ross Ulbricht's sentence. Frankly, if I were president, I would give him a full pardon."[83]
See also
Variety Jones and Smedley: pseudonyms of people reported to have been closely involved with Silk Road's founding
USBKill: kill-switch software created in response to the circumstances of Ulbricht's arrest
^"Federal Bureau of Prisons Inmate Locator". Federal Bureau of Prisons. United States Department of Justice. Archived from the original on April 6, 2012. Retrieved January 14, 2018. BOP Register Number: 18870-111
^"Federal Bureau of Prisons Inmate Locator". Federal Bureau of Prisons. United States Department of Justice. Archived from the original on April 6, 2012. Retrieved January 14, 2018. Register Number: 18870-111
^"Ross Ulbricht Indictment"(PDF). U.S District Court Southern District of New York. February 4, 2014. Archived(PDF) from the original on August 7, 2018. Retrieved February 4, 2014.
^Klasfeld, Alan (January 29, 2015). "Silk Road Murder Threat Shown as Case Nears End". Courthouse News Service. Archived from the original on January 20, 2021. Retrieved December 9, 2023. Silk Road founder Ross Ulbricht is not charged with murder for hire in his New York trial, but federal prosecutors have long accused him of hiring a hit-man to kill those who threatened his underground online drug empire. Minutes before the second week of Ulbricht's trial ended on Thursday, a jury saw email records supporting this allegation.
^United States of America v. Ulbricht, 15-1815-cr, pg 33 (2d Cir. May 31st, 2017) ("For example, because Ulbricht contested his responsibility for the
five commissioned murders for hire, the district court found by a preponderance of the evidence that Ulbricht did in fact commission the murders, believing that they would be carried out."), archived from the original.
^Cassye M. Cole & Harry Sandick, A Long Journey Through "Silk Road" Appeal: Second Circuit Affirms Conviction and Life Sentence of Silk Road MastermindArchived February 1, 2021, at the Wayback Machine, Patterson Belknap Webb & Tyler LLP, Lexology (June 8, 2017): "At trial, the government presented evidence that Ulbricht conspired to engage in multiple murders for hire to protect Silk Road's anonymity. Ulbricht was not charged with these offenses. ... At sentencing, in its Pre-Sentence Investigation Report, the U.S. Probation Office referenced the five commissioned murders, as well as six drug-related deaths connected with Silk Road. On May 29, 2015, the district court sentenced Ulbricht to life in prison, pursuant to the guidelines advisory sentence range, and based on the recommendation of the U.S. Probation Office. ... While the Court recognized that a life sentence for selling drugs was rare and could be considered harsh, the facts of this case involved much more than routine drug dealings—namely that Ulbricht commissioned at least five murders for hire and did not challenge those murders on appeal."
^Ulbricht, Ross (December 22, 2017). "Ulbricht v. U.S."(PDF). SupremeCourt.Gov. Archived(PDF) from the original on February 20, 2018. Retrieved February 23, 2018.
^Ulbricht, Ross (December 22, 2017). "Ulbricht v. U.S."(PDF). SupremeCourt.Gov. Archived(PDF) from the original on February 20, 2018. Retrieved May 5, 2021.
^Francisco, Noel (March 7, 2018). "Ulbricht v. U.S."(PDF). SupremeCourt.Gov. Archived(PDF) from the original on April 1, 2018. Retrieved March 31, 2018.
^"AFFIDAVIT of AUSA Timothy T. Howard". Court Listener. Ulbricht v. United States, Docket 1:19-cv-07512. U.S. District Court, S.D. New York. April 9, 2021. Archived from the original on March 15, 2022. Retrieved March 15, 2022.
^Bilton, Nick (2017). American Kingpin: The Epic Hunt for the Criminal Mastermind Behind the Silk Road. Portfolio/Penguin. p. 300. ISBN9781591848141.
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