Puerto Rico Resident Defies Bitcoin Seizure Order, Faces $10,000 a Day Fine

A person who has refused to switch practically 120 Bitcoin, at the moment price $ 9.7 million, to the US authorities, was discovered to contempt the courtroom. The decide has warned that he’ll obtain a tremendous of $ 10,000 a day till the funds are transferred.

Hofboekken accuses Juan Carlos Reynoso of the “Flagrant Breaking” of an order issued by a decide in Puerto Rico, which gave him 24 hours to ship the $ 9.7 million Bitcoin To a authorities -driven tackle.

He reportedly moved the cash to 5 separate crypto portfolios, in a sequence of transactions that had been subsequently traced in chain.

The courtroom utility described these transfers as’ insane ‘and have taken place extra precisely than the Oracle in Delphi’.

The funds had been made shortly after Reynoso’s lawyer, Walter Reynoso, accepted the order on behalf of his shopper.

“The momentary proximity between notification of the order and the motion of the topic belongings suggests sturdy … That Reynoso tried to hinder righteousness by avoiding a correctly issued order of the courtroom,” says the submission.

Juan Carlos Reynoso has been warned that he may very well be confronted with further fines and probably imprisonment, until the BTC is shipped to a pockets managed by the federal government.

This courtroom utility doesn’t make it clear why Reynoso was ordered to forfeit this bitcoin. And not one of the federal legal professionals hooked up to the case have responded to a request for feedback from Decrypt.

The submission merely says that FBI brokers seized one in every of his laptops in June 2024 and that it contained software program for a ledger {hardware} pockets.

Privateness proponents had been fast to emphasise that the transactions in chains had been traceable, with the argument that this exhibits: “Privateness is the biggest weak spot of BTC.”

One other tweeted that: “This case is an ideal instance of how the federal government can’t seize Bitcoin. This man can soar into an airplane with 12 remembered phrases (seed sentence) and fly to a non-growth nation to begin a brand new life. Bitcoin can’t be confused when it’s saved correctly.”

It’s unclear how this deadlock between Reynoso and the US authorities will probably be resolved, and his makes an attempt to destroy the order have been refused.

However given how Donald Trump’s new strategic reserve is predicated on BTC that was confiscated by criminals, it’s actually to make additional debate.

Printed by Stacy Elliott.