Charlie Shrem Allegedly Stole 5000 BTCs in 2012

The attorney representing Charlie Shrem, founder of The BTC Foundation, has denied the claims coming from the Winklevoss twins, Cameron and Tyler, that he had stolen an amount of 5000 BTC (currently equal to $31.7 million) from them  back in 2012.


The lawsuit, which was just released on the 1st of November, mentioned that the Winklevosses’ had worked with Shrem on a prior project before he served a one-year jail sentence for facilitating the purchase of drugs by using BTC and that this lawsuit is about an incident that occurred in 2012.

Major Success After Prison

The lawsuit emphasized the fact that Shrem could have been extremely lucky following his release from prison or, most likely, was able to buy 6 properties, 2 Maseratis, 2 powerboats, among others, from the money he got out of BTCs he had stolen.

The judge in the case is the same one who oversaw Shrem’s former case and had authorized freezing Shrem's funds according to an appeal that was filed last September. The judge also took into consideration another claim that Shrem owes about $950,000 in restitution fees from his guilty plea back in 2014.

The issue in question in the lawsuit goes back further to funds that Shrem allegedly didn’t repay the Winklevoss twins, which was a share of their investment in support of his project called BitInstant.

They had paid an amount of $250,000 and Shrem had only given back $189,000 in BTC, which was trading for $12.50 at that time.

The partners severed contact when Shrem entered a guilty plea about some operations involving BitInstant that took place before his deal with the twins.

The twins turned to the help of a private investigator who looked into the case of the missing BTCs, which consequently led to a lawsuit and the sequestering of Shrem’s assets.

Shrem hasn’t acknowledged the lawsuit publicly himself, but the content of the suit was criticized by his lawyer saying that it’s not true at all. He stated that Shrem plans to defend himself with the hopes of clearing his name.

2 years ago

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