Early Bitcoin Investor Roger Ver Charged with Tax Fraud

Early Bitcoin investor Roger Ver, nicknamed “Bitcoin Jesus,” faces tax fraud charges after arrest in Spain.

The United States Department of Justice announced that Ver was charged with mail fraud, tax evasion, and filing false tax returns in an unsealed indictment.

According to the authorities, Ver was detained in Spain over the weekend in connection with the criminal charges brought against him in the United States. 

U.S. Authorities Initiating Extradition Ver 

The U.S. will then submit an extradition request for Ver so that he may stand trial in the U.S. According to the authorities, Ver is suspected of causing the Internal Revenue Service (IRS) at least $48 million in damages. The cybercrimes unit of IRS Criminal Investigation continues to investigate the matter. 

After renouncing his U.S. citizenship, Ver, commonly referred to as “Bitcoin Jesus,” obtained citizenship in St. Kitts and Nevis. In his native Santa Clara, California, he founded and managed several publicly traded companies in the United States, including MemoryDealers.com and Agilestar.com. Ver purportedly initiated the acquisition of Bitcoins for his enterprises and personal use in 2011.

Ver Sold Thousands of Bitcoins for a Profit of $240 Million. 

According to the indictment, Ver allegedly sold tens of thousands of bitcoins in cryptocurrency exchanges for approximately $240 million in cash in November 2017.

Although Ver had revoked his U.S. citizenship at that juncture, he remained obligated to comply with IRS reporting requirements and remit tax on specific distributions, including dividends from U.S. corporations MemoryDealers and Agilestar.

According to the U.S. Department of Justice, Ver was obligated to comply with U.S. legislation by filing tax returns that detailed capital gains derived from selling his global assets, including the Bitcoins, and by remitting an “exit tax” on said capital gains.