Satoshi Nakamoto possibly gets arrested
The HBO documentary “Money Electric: The Bitcoin Mystery” has created a strong buzz in the crypto community even before its release. The documentary claims to unfold the true identity of Satoshi Nakamoto, the anonymous creator of Bitcoin, who released the whitepaper back in 2008. Now after this huge claim, one question looms large: If Satoshi’s identity is revealed, could they face arrest today?
If Satoshi is arrested then the stakes couldn’t get any higher. With an estimated 750,000 to 1.1 million Bitcoins in their holding which is worth nearly $70 Billion as per the current market prices. Satoshi’s unmasking could trigger the biggest financial enforcement action in history.
Ever since the advent of crypto industry, there has always a cat and mouse chase between high-profile crypto figures and law enforcement. 2024 also has seen a dramatic crackdown on the biggest crypto players. Sam Bankman-Fried, once known as the crypto king, was sentenced to 25 years in prison regarding FTX’s collapse.
In May 2024 Changpeng Zhao (CZ), the founder of the world’s leading cryptocurrency exchange Binance, was sentenced to four months in prison after pleading guilty to violating laws against money laundering.
Even Celsius Network’s founder and former CEO Alex Mashinsky faces fraud charges for allegedly misleading investors. According to the U.S. attorney’s office in Manhattan, Alex was charged with seven criminal charges including securities, commodities, and wire fraud.
Legal Implications from the arrest of Satoshi Nakamoto
If, hypothetically, Satoshi Nakamoto gets arrested post the revelation of their identity, there could be several legal implications, such as:
Tax Evasion: Tax authorities will definitely come after Satoshi claiming tax for billions in unreported crypto gains spanning 15 years.
Securities Laws: The initial Bitcoin distribution and mining could face retroactive scrutiny under securities regulations.
Banking Laws: Banking regulators could also cause trouble for Bitcoin creator for creating an alternative monetary system that violated many financial and banking regulations.
National Security: Bitcoin has been used in several transactions that bypassed traditional systems, international intelligence agencies might view Satoshi’s actions through a national security lens.