TLDR
- Ross Ulbricht, the once-pardoned figure behind Silk Road, has vocalized his backing of Roger Ver, insisting that imprisoning someone for life over taxes is wrong.
- Ver faces accusations from the DOJ for underreporting his bitcoin holdings, allegedly valued at $240 million, during the declaration of his 'exit tax' before he gave up his U.S. citizenship in 2014.
- Currently detained at home in Spain, Ver could face a 109-year sentence if the verdict is against him, with the IRS demanding roughly $48 million in alleged unpaid taxes.
- Ver's defense claims the charges are politically charged due to his libertarian beliefs and cryptocurrency advocacy, challenging the genuine legality of the 'exit tax'.
- The 'Free Roger' initiative, inspired by the 'Free Ross' campaign's triumph, has mostly attracted support from crypto enthusiasts and libertarians.
Named ‘Bitcoin Jesus’ for his pioneering role, Roger Ver is at risk of a 109-year imprisonment post-arrest in Spain, under U.S. DOJ charges of tax fraud connected to his 2014 citizenship resignation and bitcoin dealings.
Ver was apprehended by Spanish officials during a crypto event in April 2024. The DOJ has indicted him on eight charges, such as mail fraud and tax avoidance, linked to $48 million in alleged tax debt.
The U.S. Attorney’s Office in California claims Ver understated the worth of bitcoins sold by his companies, MemoryDealers and Agilestar, in 2017, initially worth $240 million.
Roger Ver's enterprises, known for dealing in computer and networking hardware, reportedly held up to 73,000 bitcoins, whose value was notably underestimated in his 'exit tax' filings amidst dramatic 2014 bitcoin price swings.
While stationed at home in Spain post a €150,000 bail, Ver, supported by Steptoe LLP and Kimura London & White, challenges the extradition, citing unwarranted government reach.
The defense argues that the 'exit tax', initially imposed in 2008 to curb wealthy individuals from tax dodging upon citizenship renunciation, faces unique hurdles with cryptocurrency holdings.
It's rare for legal bodies to pursue 'exit tax' miscalculations a decade after citizenship renunciation.
The prosecution of @rogerkver This seems to be part of a broader offensive by the Biden administration against crypto.
One might anticipate that the Trump-era DOJ might abandon such a case.— MetaLawMan (@MetaLawMan) February 20, 2025
Roger Ver's online platform suggests that IRS charges, after an extensive probe, are baseless, contradicting his proactive tax compliance efforts.
Ross Ulbricht, recently pardoned and former Silk Road facilitator, voices his support for Roger Ver. He credits Ver for helping him in tough times, urging public backing since no one deserves a lifelong sentence over tax disputes.
Roger Ver helped me when I struggled; now, it's our turn to stand behind him.
Lifetime sentences for tax issues are unjust. Let him pay the dues (if any) and conclude it. #FreeRoger pic.twitter.com/flP573hm0N
— Ross Ulbricht (@RealRossU) February 20, 2025
Legal History and Citizenship
The U.S. law officials have dealt with Ver before; notably, in 2002, he received a 10-month federal prison term for selling fireworks illegally, which Ver describes as a singular legal battle.
Upon release, Ver departed to Japan in 2005 and pursued Guatemalan citizenship, eventually acquiring citizenship in St. Kitts and Nevis in 2014 after renouncing his U.S. citizenship.
Concerns regarding investigative methods have been raised by Ver's defense, emphasizing questionable tactics by IRS agents in 2018 towards his tax lawyer and MemoryDealers staff without legal authorization.
Modeled after the 'Free Ross' campaign, the 'Free Roger' effort has captured mostly the crypto and libertarian audience, though some highlight distinctions, like Ulbricht's different legal standing compared to Ver’s active proceedings.
In Bitcoin’s formative stages, Ver played a significant role by funding startups like BitPay and Kraken, but later criticism arose due to his stance on the Bitcoin/Bitcoin Cash split.
As per Polymarket, a prediction market, Ver supposedly has a mere 10% likelihood of receiving clemency from Trump within his inaugural 100 days, trailing figures like Snowden and Assange. While staying in Spain under house detention, Ver's attorneys are tackling both the intricate case details and larger constitutional viewpoints tied to crypto-based expatriation taxes.
Journalist Maisie, with deep expertise in crypto and finance, has contributed to renowned platforms such as Moneycheck.com and level-up-casino-app.com, currently leading Blockfresh.com.
