New Bitcoin Lows After Michael Saylor Lawsuit, Here’s Why

Bitcoin maximalist Michael Saylor was sued for tax fraud by the District of Columbia. According to the Attorney General of the District, Karl Racine, Saylor resided in the District of Columbia without paying any income tax for over a decade.

Michael Saylor is one of the biggest supporters of Bitcoin. Experts worry that the lawsuit against Saylor, especially in the case of a conviction, can create new lows for Bitcoin. 

Why Michael Saylor Lawsuit Is Bad For Bitcoin

Michael Saylor is one of the biggest supporters of Bitcoin. He called Bitcoin the only commodity while calling every other altcoin including Ethereum a security. His company, MicroStrategy, is one of the largest holders of Bitcoin.

According to River Financial, MicroStrategy holds more Bitcoin than any other public company. It has acquired more than 131,000 BTC. In the second financial quarter, when Tesla was dumping its BTC holdings for cash, MicroStrategy was acquiring it. Under the leadership of Saylor, MicroStrategy spent more than $4 billion in acquiring Bitcoin.

Saylor has also claimed that Bitcoin will reach $1 million.

However, according to the DC attorney general, Saylor’s tax evasion amounts to more than $25 million. Moreover, MicroStrategy is also a defendant in the lawsuit. According to the lawsuit, MicroStrategy had information that Saylor was living in DC but failed to make it public.

According to a major crypto influencer, CryptoGodJohn, the lawsuit against MicroStrategy and Saylor is bad news for crypto and Bitcoin. He believes that Bitcoin is going to face a rocky period.

Is The Lawsuit Against Saylor A War Against Crypto

Many in the crypto field are not happy with the District of Columbia’s lawsuit against Saylor. Many believe that the lawsuit against him is a part of the state’s war against crypto. They link Saylor’s lawsuit to Tornado Cash sanctions by the US Treasury.

They also believe that Central Bank Digital Currency is also an effort by the state to gain financial surveillance.

Nidhish is a technology enthusiast, whose aim is to find elegant technical solutions to solve some of society’s biggest issues. He is a firm believer of decentralization and wants to work on the mainstream adoption of Blockchain. He is also big into almost every popular sports and loves to converse on a wide variety of topics.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.