Details of the case against Kyle Ian Christopher Wilson, 23, were revealed in the ACT Magistrates Court on Thursday as he unsuccessfully applied for bail.

The unemployed Gordon man has pleaded not guilty to a charge of attempting to possess a marketable quantity of a border-controlled drug.

In court documents, police say they were notified in November that Sydney-based Australian Border Force officers had intercepted a package from Nigeria.

The consignment was declared as "weavon & eyelashes" but X-rays found it to contain about one kilogram of cocaine, which the court heard could be worth between $330,000 and $500,000.

Police proceeded to replace the drugs with an inert substance and install a surveillance device within the package.

A police officer purporting to be a DHL employee then delivered it to Mr Wilson's home, where it had been addressed to a "Samantha Cherry", on November 24.

An occupant identifying himself as Kyle received the delivery, and police entered the home with a search warrant about three hours later.

Investigators say that after being cautioned, Mr Wilson told them a friend named Monty had asked him to receive the package.

He is said to have told police he would be paid in cash for this, and that he suspected the delivery contained cocaine.

"Monty is saved in his phone as 'Pooh Shiesty that's my dawg'," a summary of the 23-year-old's alleged admissions says.

The phrase is a lyric from a track by an American rapper who goes by the stage name Pooh Shiesty.

Mr Wilson also admitted, according to police, that he had sold cocaine himself for $250 per bag.

"He is scared for his own safety because of the other people who are associated with this investigation," the summary concludes.

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Federal prosecutor Cecilia Pascoe raised this point as she opposed Mr Wilson's bail application on Thursday, saying the young man probably now owed a debt arising from the seizure of the cocaine.

She argued he therefore posed a risk of offending while on bail, adding that he seemed incapable of complying with conditions because he had entered into a good behaviour order for unrelated offending just six days before his arrest.

Ms Pascoe also said the possibility of retribution and the likely custodial sentence Mr Wilson faced if convicted meant he posed "a significant flight risk".

Further, the prosecutor said, evidence from Mr Wilson's devices indicated other people were involved in the importation and he might attempt to contact them and interfere with their evidence if he was released.

Defence lawyer Stephanie Beckedahl argued, however, that appropriate bail conditions could be imposed.

Ms Beckedahl told the court her client had ties to the ACT and could live with his parents, labelling concerns about flight merely speculative.

She also proposed a raft of onerous conditions that included a curfew and a ban on using any internet-enabled device.

Magistrate Glenn Theakston ultimately refused bail, saying Mr Wilson had made "comprehensive admissions" and faced a likely sentence of imprisonment if convicted.

He said there was therefore a likelihood of him failing to appear in court "for fear of being incarcerated".

The magistrate said the lure of committing crimes to repay a debt might also be "more attractive than not reoffending".

Mr Theakston remanded Mr Wilson in custody until the 23-year-old's next court appearance on February 3.

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