Will The Real Satoshi Nakamoto Please Stand Up? Bitcoin’s ‘Trial of the Century’ Enters Third Week

Will The Real Satoshi Nakamoto Please Stand Up? Bitcoin’s ‘Trial of the Century’ Enters Third Week Photo Source: elevennews.com

The identity of Bitcoin's founder, Satoshi Nakamoto, has been one of the digital finance world’s greatest mysteries. This week, a trial is underway in a Florida court that could finally unveil who Nakamoto is. For many Bitcoin fanatics, this civil suit is considered to be the trial of the century. At stake is around one million Bitcoins, a sum that’s roughly equal to $74 billion today.

The suit was brought forward by Ira Kleiman, the brother and executor of David Kleiman’s estate. In it, Kleiman’s estate alleges that David, a computer forensics expert who passed away in 2013, and Craig Wright, 51, a computer programmer, worked together under the pseudonym of Satoshi Nakamoto to create the cryptocurrency Bitcoin.

Over the past couple of years, the cryptocurrency gained national attention for its surge in price.

In 2012, the currency was trading at around $12 a share. Almost a decade later the currency reached its highest point at $68,521 a share. Its curiosity and volatility have sparked the creation of other crypto coins in the digital currency landscape. While Bitcoin was on the fringe during its early days, it has quickly gained traction and has since been accepted by some nations and a slew of companies as a valid currency.

While many eyes are on the trial because it may unveil who the founder of the cryptocurrency is, at the heart of the complaint is who owns the intellectual property associated with the development of Bitcoin. Kleiman’s estate maintains that it is owed a share of the one million “Satoshi Bitcoins” because Kleiman played a vital role in writing the nine-page document or “white letter” that details the specifics about the coin, how to use it, and its purpose.

According to Kleiman’s estate, the late Kleiman and Wright, a self-described multi-billionaire, worked together since 2008 to create the frameworks for Bitcoin. The Kleiman family lawyer Vel Freedman shared with the Wall Street Journal, “We believe the evidence will show there was a partnership to create and mine over one million bitcoin.”

Kleiman’s estate contends that the duo incorporated a Florida-based company, W&K Info Defense Research to mine for bitcoin and that it served as the partnership between the two. Wright however maintains that he was the sole owner of the company.

Kleiman’s estate also argues that Kleiman helped write Bitcoin’s white paper. However, Wright maintains that he was the sole author and that Klieman’s contribution was only under the capacity of an editor. By claiming sole ownership of the intellectual rights of the white paper, Wright maintains he is the sole owner of the wallet that contains nearly one million bitcoins.

According to Ira Kleiman, after his brother’s death, Wright began to distance himself from the Kleiman family. On April 4, 2019, Wright recounts in a videotaped deposition, “He was never my partner. … I hate the whole concept of partnership.” Wright’s lawyer, Andrés Rivero, defended, “We believe the court will find there's nothing to indicate or record that they were in a partnership.”

The trial which is now in its third week is riddled with allegations of fraud and conflicting testimony on the part of Wright. After taking the stand to testify, evidence was presented that showed Wright had sent online messages that describe Kleiman as his partner. “In order to fund my works, my partner Dave Kleiman and I sold code that was used in gaming in countries like Costa Rica,” the presented evidence read. The evidence also conflicts with the defense’s argument that Wright’s Asperger’s diagnosis means that he is only able to interact with the world in a literal capacity.

Internet sleuths and cryptocurrency fanatics have long contended that Wright could prove his ownership of the coins by simply transferring a small portion of them out of the wallet. In May 2016, Wright contended that he would transfer some of the coins out of Satoshi's wallet to prove he was the owner of them. However, he later shared in a now-deleted blog post, “I do not have the courage. I cannot.”

Another aspect that has been up for debate is whether or not Wright actually has the digital keys to access the Satoshi coins if the court rules in favor of Kleiman’s estate. Also, considering that Bitcoin is a decentralized currency, it's unclear if Wright can actually be compelled to transfer the coins.

Nadia El-Yaouti
Nadia El-Yaouti
Nadia El-Yaouti is a postgraduate from James Madison University, where she studied English and Education. Residing in Central Virginia with her husband and two young daughters, she balances her workaholic tendencies with a passion for travel, exploring the world with her family.
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