Roger Ver, a well-known early bitcoin investor often dubbed “Bitcoin Jesus,” has reached a deferred prosecution agreement with the U.S. Department of Justice to settle federal tax allegations. As part of this arrangement, Ver has disbursed nearly $50 million in back taxes, penalties, and interest to the Internal Revenue Service (IRS).
The allegations arise from Ver’s failure to report his bitcoin assets when he renounced his U.S. citizenship in 2014—a procedure referred to as expatriation. During that period, Ver acquired citizenship in St. Kitts and Nevis but was still legally obligated to declare and pay taxes on the capital gains from his worldwide assets, which included significant bitcoin holdings.
Per the agreement, Ver willfully neglected to disclose all of his bitcoin assets when submitting his expatriation-related tax returns in 2016. This oversight led to a $16.9 million deficit for the U.S. government in unpaid taxes. Ver acknowledged intentionally breaching federal tax regulations, resulting in the highest civil fraud penalty exceeding $12 million, in addition to interest.
In light of Ver’s admissions and full repayment, the government has moved to dismiss the indictment filed against him.
Officials from the Justice Department and IRS said the case reinforces that tax obligations apply to all forms of wealth, including digital assets.
“This resolution sends a clear message: whether you deal in dollars or digital assets, you must file accurate tax returns and pay what you owe,” said Associate Deputy Attorney General Ketan D. Bhirud.
“No matter how sophisticated the technology or the asset, IRS-CI will continue to follow the money,” added Kareem Carter, Executive Special Agent in Charge of IRS Criminal Investigation in Washington, D.C.
Ver, who began acquiring bitcoin in 2011 and became one of its most vocal evangelists, was dubbed “Bitcoin Jesus” for his early and aggressive promotion of cryptocurrency. While Ver avoids prison time under the deferred prosecution agreement, he must continue to meet the terms of the deal or face potential reinstatement of charges.
Note: View the motion to dismiss and deferred prosecution agreement.
