Roger Ver, an early Bitcoin investor facing charges of mail fraud and tax evasion by the US Department of Justice (DOJ), has been granted bail by a Spanish court despite extradition requests from the US authorities.

Tax Evasion In Connection With Bitcoin Wealth

Following his arrest in Spain in late April, Ver was released on May 17 after posting €150,000 ($163,000) in bail. However, he must surrender his passport, stay in Spain, and appear in court every two days. The prosecutor’s appeal against his release was rejected two weeks later.

The DOJ indictment alleges that Ver, known as “Bitcoin Jesus” for promoting Bitcoin early on, accumulated a significant fortune in Bitcoin from 2011 onwards. Despite selling Bitcoins for about €240 million in 2017, he supposedly did not report capital gains or pay taxes on these holdings, evading tax responsibilities.

Additionally, even after relinquishing his US citizenship in 2014 and becoming a citizen of St. Kitts and Nevis, US law required Ver to disclose and pay taxes on global capital gains, including those from Bitcoin.

The indictment further asserts that Ver provided inaccurate information to his legal representatives and undervalued his companies and Bitcoin holdings, leading to the submission of undervalued tax returns.

US Authorities Seek Extradition of Roger Ver

The US authorities are pursuing Ver’s extradition on tax fraud charges, alleging he owes at least $48 million in taxes from Bitcoin transactions and undervalued assets.

Ver’s legal counsel has mentioned his cooperation with US authorities and deemed his arrest unnecessary. This case highlights increased scrutiny and regulation within the cryptocurrency industry as governments globally seek compliance with financial and tax regulations.

Bitcoin’s current value is $70,990, showing a 6% increase in the last seven days.

Image source: Bloomberg, chart source: TradingView.com