Early Bitcoin Investor Arrested For Failing To Report Capital Gains From $3.7 Million BTC Sales Between 2017 And 2019
An early Bitcoin investor from Austin, Texas, has been arrested for failing to report crypto capital gains involving the sale of around $3.7 million worth of BTC. Investor Frank Richard Ahlgren III “falsely underreported (realized) capital gains” earned from the sale of approximately $3.7 million in BTC between 2017 and 2019, the US Department of Justice (DOJ) said in a Dec. 12 report . Bitcoin Investor Started Buying BTC Back In 2011 Ahlgren started investing in BTC in 2011. In 2015, he purchased 1,366 Bitcoins on the leading US crypto exchange Coinbase when BTC was trading under $500. Two years later in 2017, the investor then sold 640 BTC at an average price of $5,807.53 before reinvesting $3.7 million into real estate. However, authorities identified discrepancies in Ahlgren’s 2017 federal income tax return. In their report, the DOJ said the investor “filed a false 2017 federal income tax return that substantially inflated the cost basis of the bitcoins...