The title is rather misleading - bitcoins seem to be still under the control of the convict, he is just ordered to hand them over, under threat of more prison time. It is strange to call this confiscation, I imagine confiscation would mean taking by force regardless of the will of the holder. I may be wrong, English is my second language. Wiktionary is also a bit ambiguous - "lay claim [check] to and separate a possession [nope]".