Roger Ver faces U.S. tax evasion charges over a 2017 Bitcoin sale.
If convicted, Ver could face up to 30 years in prison.
Roger Ver, known as “Bitcoin Jesus,” is challenging a U.S. tax evasion indictment. The U.S. Attorney for the Central District of California has accused Ver of dodging over $48 million in taxes. The charges stem from his 2017 sale of $240 million worth of Bitcoin. In response, Ver’s legal team is seeking to dismiss the charges, claiming that the case is unconstitutional.
Ver renounced his U.S. citizenship in 2014. He became a citizen of Saint Kitts and Nevis and moved his business interests abroad. However, the U.S. tax system requires individuals who expatriate with assets over $2 million to pay an “exit tax.” Ver allegedly failed to file the required exit tax return, triggering the current charges.
Ver’s legal team argues that the IRS’s exit tax laws are both vague and unconstitutional. They claim that the tax violates the Due Process and Apportionment Clauses of the Constitution. Furthermore, they assert that the tax guidelines were unclear regarding digital assets, such as Bitcoin, at the time of the sale.
Prosecutors also accuse Ver of underreporting his Bitcoin holdings in 2017. They claim he concealed the true extent of his Bitcoin ownership. Ver’s companies, MemoryDealers and Agilestar, reportedly held around 70,000 Bitcoin at that time.
Ver Cites Legal Ambiguities
In 2017, Ver allegedly sold tens of thousands of these coins, generating $240 million in revenue. According to the indictment, Ver provided false information about his assets, intentionally undervaluing them.
Ver’s defense counters these allegations by emphasizing the lack of clear guidelines for Bitcoin and other digital assets at the time. They point to evidence that shows Ver had no intent to violate tax laws. They also argue that Ver sought professional advice to ensure compliance with tax rules. Additionally, his lawyers claim that prosecutors misused privileged communications and ignored key evidence that supports Ver’s case.
If convicted, Ver could face up to 30 years in prison, depending on the charges. However, his legal team is hopeful that the new, crypto-friendly U.S. administration will impact the case’s outcome.
Ver’s defense also includes claims of selective enforcement, citing his outspoken criticism of U.S. crypto regulations. Ver remains out on bail in Spain, where he is awaiting possible extradition to the U.S. for a trial scheduled for February 2025.Highlighted Crypto News Today Saxo Predicts Crypto Market Could Quadruple to $10T in 2025
