So That's What the Feds Are Doing with Seized Bitcoins – ReadWrite

It's rather idiotic to put money up on auction.

There's a little exchange risk, since I assume there'll be a delay between the bids and the payment, but if everybody bids at the same time, they will bid the same amount, unless they're willing to accept some loss, which of course, since payment has to be made in US dollar, is perfectly understandable.