Key facts
- The Bitcoin Policy Institute (BPI) has filed to intervene as a defendant in a lawsuit concerning Satoshi Nakamoto's dormant Bitcoin.
- BPI aims to dismiss the case, arguing that the legal theory presented could allow anyone to claim self-custodied Bitcoin held for over five years.
- The lawsuit involves approximately 3.8 million dormant BTC.
- BPI's intervention is intended to protect its own long-term Bitcoin reserves.
- The case could impact all long-term self-custodians if the plaintiffs' theory is successful.
The Bitcoin Policy Institute (BPI) has filed to intervene as a defendant in a New York lawsuit seeking legal ownership of Bitcoin creator Satoshi Nakamoto's dormant coins. The crypto advocacy group aims to dismiss the case, arguing that the plaintiff's legal theory could allow anyone to claim self-custodied Bitcoin held for over five years, effectively treating it as lost property.
In an X post, BPI stated its intervention is to protect its own long-term Bitcoin reserves, held in self-custody. The lawsuit involves approximately 3.8 million dormant BTC. BPI's filing comes shortly before a July 14 hearing where the plaintiffs, Noah Doe, ABC Company, and XYZ Company, could be granted ownership of these coins.
BPI's arguments, as noted by Alex Thorn, Head of Research at Galaxy Digital, are extensive. The institute is seeking to intervene as a full defendant, proposing an answer, 15 affirmative defenses, and a motion to dismiss. BPI contends that holding coins for five years is not abandonment but rather a long-term holding strategy, and that the plaintiffs' theory could be used to strip title from all long-term self-custodians.