Re: The government can take stuff it thinks belongs to you if you've been convicted?
I believe this is correct in a sense. Stuff that has been used to commit the crime can be taken as part of the conviction (which I think was done in this case).
I think what's more interesting is that a domain name was deemed property and thus not something that is rented. Does this mean the registrar can't give the domain to someone else if the registry fee isn't paid (they could still deregister it in DNS of course)? It is after all the property of the one who did register it.