{"id":10937,"date":"2024-05-02T02:18:05","date_gmt":"2024-05-02T02:18:05","guid":{"rendered":"https:\/\/www.bitrabo.com\/discover\/crypto-witch-hunt-experts-criticize-doj-for-bitcoin-jesus-indictment\/"},"modified":"2024-05-02T02:18:05","modified_gmt":"2024-05-02T02:18:05","slug":"crypto-witch-hunt-experts-criticize-doj-for-bitcoin-jesus-indictment","status":"publish","type":"post","link":"https:\/\/www.bitrabo.com\/discover\/crypto-witch-hunt-experts-criticize-doj-for-bitcoin-jesus-indictment\/","title":{"rendered":"Crypto Witch-Hunt: Experts Criticize DOJ For \u2018Bitcoin Jesus\u2019 Indictment"},"content":{"rendered":"

On Tuesday, the crypto industry was shaken after news of the indictment of one of a Bitcoin early investors broke. Per the reports, the US Department of Justice (DOJ) pressed multiple charges against Roger Ver, a controversial figure in the space known as \u201cBitcoin Jesus.\u201d<\/p>\n

Experts and figures within the community have expressed their sentiments about Ver\u2019s arrestment, with some considering the US administration is on a “crypto witch-hunt.”<\/p>\n

<\/span>Was Roger Ver\u2019s Indictment Celebrated?<\/span><\/h2>\n

On April 30, Roger Ver was detained by Spanish authorities on charges of tax evasion, mail fraud, and false tax returns. The indictment came the same day as former Binance CEO Changpeng \u2018CZ\u2019 Zhao’s four-month sentence.<\/p>\n

The prosecutors allege that Ver, who renounced his US citizenship in 2014, failed to report the gains from Bitcoin sales held by his US companies and consequently failed to pay the required taxes.<\/p>\n

As a result, the \u201cBitcoin Jesus\u201d is now being accused of causing a $48 million loss to the IRS, and the US is seeking his extradition from Spain.<\/p>\n

After the news, several crypto experts and community members commented on the charges, some considering it a \u201cgood\u201d thing. Bitcoin educator and investor Dan Held was among those who \u201ccelebrated\u201d the detention.<\/p>\n

\n

Breaking: Roger Ver Charged With Mail Fraud, Tax Evasion, And Filing False Tax Returns, Wanted For Extradition To the United States: U.S. Department of Justice<\/p>\n

Good. He's been a net negative for Bitcoin.<\/p>\n

— Dan Held (@danheld) April 30, 2024<\/a><\/p>\n<\/blockquote>\n

In an X post, Held stated that Roger Ver has \u201cbeen a negative for Bitcoin.\u201d To the investor<\/a>, Ver \u201cmisaligned expectations around Bitcoin so much that it led to a civil war. He deserves everything that he’s about to get.\u201d<\/p>\n

Some members of the crypto community partially agreed with Held\u2019s sentiment. One X user considers<\/a> Ver responsible for attempting to destroy Bitcoin during the “Blocksize War.”<\/p>\n

<\/span>DOJ Faces Backlash For \u201cOverreaching\u201d And Unclear Crypto Landscape<\/span><\/h2>\n

Overall, the sentiment leans against Roger Ver’s prosecution. To many, the DOJ\u2019s actions are part of the US government\u2019s efforts to target the crypto industry. 2024 US House candidate Jane Adams called<\/a> the indictment \u201ca\u00a0blatant attack on dissent,\u201d adding that the US administration\u2019s \u201cpursuit is fueled by vindictiveness, not justice.\u201d<\/p>\n

Similarly, founder and CEO of Layer Two Labs Paul Sztorc also expressed<\/a> his concern: \u201cNot exactly government via the consent of the governed…,\u201d he stated in an X post.<\/p>\n

According to crypto investor and expert Kim Dotcom, the charges against Ver \u201chas nothing to do with tax evasion.\u201d Instead, the crypto veteran considers that the US government is on a witch-hunt, \u201ca malicious attempt to vilify Roger and to punish him for exposing and opposing the crimes of the US empire.\u201d<\/p>\n

\n

Roger Ver, one of the earliest Bitcoin investors was arrested in Spain for alleged tax evasion and the US Govt is seeking his extradition. The US DOJ claims that Roger under-reported the value of his Bitcoin holdings when he gave up his US citizenship in \u20182014\u2019.<\/p>\n

At that time\u2026<\/p>\n

— Kim Dotcom (@KimDotcom) May 1, 2024<\/a><\/p>\n<\/blockquote>\n

The investor argues that at the time of the Bitcoin sales used for the indictment, the crypto industry was \u201cthe wild west of investing.\u201d As a result, there were no clear regulations and guidance on the cryptocurrency\u2019s legal status:<\/p>\n

\n

How do you assess the value of such an illiquid asset back in 2014? To now claim, a decade later, that Roger owes $50 million in taxes to the US Govt is ludicrous (\u2026) It\u2019s also a hopeless attempt to attach a value to something that was trading in a fragile, volatile and unregulated market in 2014.<\/p>\n<\/blockquote>\n

The crypto community has widely discussed the US\u2019s unclear and inconsistent regulatory framework for cryptocurrencies. Consensys\u2019 recent demand against the Securities and Exchange Commission (SEC) highlighted the contradictory guidance from the country\u2019s regulators.<\/p>\n

These contradictions have caused US congress members like Patrick McHenry to consider the SEC\u2019s efforts to regulate \u201cby enforcement\u201d to be driven by an \u201carbitrary and capricious nature.\u201d Ultimately, it urges \u201ca clear regulatory framework and robust consumer protections for digital asset markets.\u201d<\/p>\n

<\/p>\n