Roger Ver Challenges Indictment with Motion to Dismiss

Jimmy Aki
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Roger Ver, a prominent figure in the cryptocurrency world, has filed a motion to dismiss criminal charges accusing him of tax evasion. Ver, often referred to as “Bitcoin Jesus” for his advocacy of Bitcoin in its early days, was indicted in April by the U.S. Department of Justice (DOJ) for allegedly failing to pay $50 million in taxes.

Ver Seeks Dismissal of Tax Evasion Indictment

He was arrested in Spain and awaits a decision on extradition to the U.S.

According to court documents, Ver’s attorneys argue that the charges stem from unclear U.S. cryptocurrency tax regulations. The motion states that the lack of precise guidelines in the early days of Bitcoin contributed significantly to Ver’s alleged noncompliance.

“This task of navigating regulatory uncertainty posed special difficulties in the case of cryptocurrencies, particularly for BTC in its infancy,” his attorneys stated.

The DOJ claims Ver failed to pay taxes on selling approximately $240 million worth of Bitcoin in 2017. Additionally, the indictment alleges that Ver underreported his Bitcoin holdings in 2014, the same year he renounced his U.S. citizenship.

Ver’s legal team has accused the DOJ of misconduct, stating that it secretly pursued an indictment during what they believed were good-faith negotiations.

The motion argues that the DOJ relied on “misleading, selective quotations of communications presented to the grand jury” and violated Ver’s attorney-client privilege.

However, the DOJ has not decided to withdraw the indictment.

Allegations of Misconduct and Regulatory Issues

Ver’s attorneys further contend that the U.S. government’s approach to cryptocurrency tax enforcement has been inconsistent.

“The government’s charges against Roger Ver rely on violations of his rights; misleading, selective quotations of communications presented to the grand jury,” the motion asserts.

This case unfolds amid changing attitudes toward cryptocurrency regulations. With the Trump administration’s return in January, there are expectations of pro-crypto policy changes, potentially altering the legal environment for cases like Ver’s.

In previous cases, regulatory clarity has been a contentious issue for the crypto industry.

Observers noted that the Internal Revenue Service (IRS) only began issuing detailed cryptocurrency tax guidance in 2019, long after many of Ver’s alleged violations. This timeline may strengthen his defense’s argument that early adopters faced significant uncertainty.

Ver’s legal troubles are reminiscent of other high-profile cases in the crypto world. For instance, John McAfee faced similar allegations before his untimely death, raising questions about the fairness of U.S. enforcement against crypto entrepreneurs operating in unregulated environments.

Many in the crypto community have criticized the DOJ’s actions, arguing that targeting Roger Ver nearly a decade after he renounced his U.S. citizenship raises questions about fairness.

Paul Sztorc, CEO of LayerTwo Labs, noted that Ver had fulfilled his tax obligations in both Japan and the U.S. after relocating, yet he was arrested years later.

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.