Kraken Co-Founder Backs Bitcoin Cash Advocate Facing Tax Charges

Kraken co-founder Jesse Powell has publicly supported Bitcoin Cash advocate Roger Ver, who is currently facing tax-related charges from the U.S. Department of Justice (DOJ). In a Jan. 27 post on X, Powell questioned the integrity of the evidence presented by the Internal Revenue Service (IRS) and highlighted potential flaws in the case against Ver.

Ver, a long-time crypto promoter, was indicted in April 2024 on accusations of tax evasion, mail fraud, and filing false returns. U.S. prosecutors claim he failed to disclose over $48 million in capital gains from crypto trades. Ver was arrested in Spain in May 2024 but later released on bail under conditions that restricted his travel to the country while awaiting a decision on his extradition to the U.S.

Ver's legal team has argued that tax regulations at the time of the alleged offenses were ambiguous, especially for crypto innovators. Powell echoed this sentiment, suggesting that the IRS should be responsible for proving the allegations beyond reasonable doubt. He also noted concerns about how some evidence against Ver was obtained, hinting at possible procedural violations.

The Kraken founder expressed disbelief that a prominent Bitcoin advocate like Ver would jeopardize his freedom over a relatively minor tax liability. He pointed to interviews conducted during the investigation, where witnesses reportedly supported Ver's claims of compliance. Powell believes Ver anticipated scrutiny when he renounced his U.S. citizenship in 2011, taking steps to settle his obligations before moving to St. Kitts and Nevis.

Powell concluded that the case against Ver may be driven more by personal animosity than legal grounds. He suggested that political intervention might be necessary and called on President Donald Trump to examine the situation.

Powell's support comes as Ver attempts to get Trump to intervene in his case. On Jan. 27, Ver released a video describing what he called years of government harassment due to his stance on individual freedoms and crypto. However, his chances of getting a Presidential pardon appear slim, as Elon Musk, a close associate of Trump, dismissed the possibility.