Bitcoin trader jailed after hiding millions worth of BTC from U.K. court

A Briton was imprisoned for almost five months after omitting to disclose his Bitcoin assets during a legal dispute with another cryptocurrency merchant.

Graham Darby, 50 according to In the land of online Wales.

The case stems from a cryptocurrency failure between Darby and Zi Wang, a 22-year-old Australian trader. The two had agreed to exchange 30 bitcoin (BTC) for 400,000 tezos (Xtz), with plans to reverse the trade after two years.

However, Wang said Darby had not brought the tezos, as agreed, causing losses between £ 900,000 ($ 1.14 million) and 1.3 million pounds sterling.

Wang allegedly allegedly increased the value of Tezos, Darby blocked him on Telegram and refused to maintain the agreement. Darby denied the reprehensible acts, saying that Wang had simply “made less of the transaction”.

When the case reached the high court, Darby did not reveal that he still controlled 100 Bitcoin – Worth about 8 million pounds sterling.

The cybercrime investigator Richard Sanders provided expert testimonies, discovering the vast network of Darby digital portfolios. Darby denied the property, saying that he had forgotten his portfolio passwords. However, Sanders’ conclusions convinced the court differently.

Darby missed a key audience, leading judge Keyser KC to govern him. He then attended another hearing, declaring that he had struggled to guarantee legal representation. The judge noted that Darby had “put his head in the sand” and sentenced him to 18 months, with the possibility of liberating early if he apologized.

Cryptography depression

In prison, Darby would have suffered a break. His daughter helped him obtain legal aid and he finally admitted contempt, apologized and settled with Wang.

Lord judges James Dingemans, who examined the appeal, recognized Darby’s mental health struggles and legal difficulties. He judged that Darby had respected the orders of the court and reduced his pain in time purged.

After his release, Darby compared his experience in the post office scandal in the United Kingdom, saying: “The system is broken.” Its case highlights the legal complexities surrounding the litigation of cryptocurrency and the importance of complete financial disclosure before the courts.