Share this article

Alleged Silk Road 2.0 Accomplice Arrested on Conspiracy Charges

Federal investigators have confirmed that Brian Richard Farrell has been arrested in connection with black market website Silk Road 2.0.

Updated Mar 6, 2023, 3:34 p.m. Published Jan 21, 2015, 9:00 p.m.
FBI-screenshot-final

Federal investigators have confirmed that another arrest has taken place in connection with black market website Silk Road 2.0.

Acting US attorney Annette Hayes announced that Brian Richard Farrell, 26, was arrested on Tuesday on suspicion of being a "key administrator" of Silk Road 2.0 under the pseudonym "Doctor Clu".

STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters

Farrell's arrest comes two months after Blake Benthall, the alleged leader of Silk Road 2.0 was arrested by federal authorities on counts of conspiring to commit drug trafficking, computer hacking, dealing in fraudulent documents and a count of money laundering conspiracy.

Farrell, who drew the attention of Homeland Security Investigations agents last July has been charged with conspiracy to distribute heroin, methamphetamine and cocaine.

When the search warrant was served at Farrell's residence in Seattle, agents seized $35,000 in cash as well as varied drug paraphernalia.

According to the criminal complaint, Farrell was allegedly involved "in activities such as approving new staff and vendors for the website, and organising a denial of service attack on a competitor".

In the statement, announced on the FBI website, Hayes said:

"The arrest of Mr. Farrell is proof that federal law enforcement continues its efforts to root out those who subvert the Internet to set up black markets for illegal goods."

Paving the way

The original Silk Road website was launched in February 2011 and was closed by the FBI in 2013. Its alleged founder, Ross Ulbricht, is currently undergoing trial in New York’s federal court.

The remaining administrators of the service launched its second version, Silk Road 2.0, in November 2013 and it wasn't long before they started to attract users.

According to the bureau, Silk Road 2.0 generated estimated sales of $8m per month and had approximately 150,000 active users by September 2014.

In May the Digital Citizens Alliance published a study that looked into the emergence of deep web black markets following Silk Road's demise. It explains that other marketplaces profited after Silk Road shut down, with Black Market Reloaded (BMR) and Sheep Market as key players.

Shortly afterwards, a similar site, Atlantis, closed in what many considered a scam that left it holding customers' bitcoins. It was around the same time that Silk Road 2.0 sprung into action.

Like its predecessor, it is notorious for being one of the most sophisticated and widely used online marketplaces for illicit products. The site, which operated on the Tor network, was designed to conceal the IP addresses of computers that used it.

More For You

KuCoin Hits Record Market Share as 2025 Volumes Outpace Crypto Market

16:9 Image

KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.

What to know:

  • KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
  • This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
  • Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
  • Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
  • Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.

More For You

Bitcoin's squeeze sets stage for major price swing

magnifying glass prices

BTC's volatility bands have compressed to levels that have historically paved the way for a renewed price turbulence.

What to know:

  • Bitcoin's price has been stable between $85,000 and $90,000 for two weeks, leading to a Bollinger Bands squeeze.
  • The Bollinger Bands squeeze suggests a potential for significant price movement soon.
  • Historical patterns show that such squeezes often precede major price swings.