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Silk Road operated through the Tor network, a hidden part of the internet designed for secure, anonymous communication, initially developed by the U.S. Navy. Using this technology, Ulbricht could protect the identities of buyers and sellers, while transactions were conducted entirely in Bitcoin, further obfuscating the flow of money.
The Marketplace’s Growth and Challenges
Ulbricht’s early endeavors included selling psychedelic mushrooms, which fit within his libertarian ideology: consumers should have the freedom to make personal choices regarding drug use without government oversight. He employed creative marketing tactics to attract users to Silk Road, posing as a satisfied customer on forums dedicated to mushrooms and other drugs, likening Silk Road to an "anonymous Amazon."