The Crypto Six
Windows shattered, drones flying, and bitcoin ATMs seized
Full Stack
Free Talk Live Host, Early Bitcoin Adopter Ian Freeman, is Among Six Charged with Crimes Related to Virtual Currency Exchange Business
In the United States, many early Bitcoin adopters credit the radio program Free Talk Live (FTL) for introducing them to peer-to-peer electronic cash. The show has been around for nearly two decades, and for the bulk of its existence headquartered in New Hampshire.
From the Live Free or Die state, FTL discussed cutting edge anarcho-libertarian ideas and often engaged in lifestyle activism, living the voluntary philosophy.
At FTL’s head is Ian Freeman, 40, of Keene. He’s hosted the show with various sidekicks throughout the years, but Freeman is its go-engine, its lifeblood, again mixing libertarian philosophy with in-real-life action (often running afoul of local ordinances).
Looking back, it’s no wonder the Bitcoin phenomenon appealed to FTL and Freeman. The idea of stateless, deflationary, P2P money is a voluntaryist fever dream like no other. FTL would soon champion the concept, talking about it so much a listener named Roger Ver (founder of Bitcoin.com) became arguably its most ardent convert.
A decade or so later, New Hampshire in general and Keene in particular are hotbeds of cryptocurrency activity and usage. That evidently caught the attention of federal law enforcement, such as the FBI and IRS, who have been tracking Freeman and his various Bitcoin-related ventures for some five years.
It culminated recently in the indictment and recent arrest of Freeman and five cohorts on money laundering and wire fraud charges. Freeman faces the most prison time, anywhere from a minimum of ten years to a potential life, according to media accounts.
The nine page grand jury indictment reads as a series of process crimes, crimes without a victim in the traditional sense. No one appears to have been defrauded. No one is claiming to have been harmed. At its worst, Freeman and compatriots are accused of trying to get around taxation and friction-filled legacy financial regulations by playing federal tax-exempt and banking legal games… all of which seem to be in-line with Freeman’s brand of lifestyle activism.
Most would agree the New Hampshire cadre are hardly violent criminal masterminds.
In any event, the FBI and IRS evidently felt it was time to swoop-in using tactics befitting cartels and kingpins: long guns out, smashing into at least three FTL-associated locations, including Freeman’s home.
To get a sense of federal law enforcement reaction to Freeman’s charges, Cryptobeat interviewed Ian Freeman’s girlfriend, Bonnie Kruse, 24. She started dating Freeman about five months ago, moving from San Antonio, Texas to New Hampshire. She lives with Freeman, shares FTL hosting duties, and has become a self-styled “liberty activist.”
Kruse “was there the day of the raid,” at Freeman’s home which doubles as the FTL studio. Around 6 in the morning, the pair heard screaming and “some loud noises.” She instinctively grabbed her small dog and hastily threw on a robe. Once downstairs, they encountered law enforcement.
“There was an FBI agent sticking his upper body and a giant gun through the window that had been bashed in,” Kruse explained to Cryptobeat.
“There was glass all over the floor right at the bottom of the stairs and even on the stairs. The front door had been bashed open. The FBI agent was screaming ‘this is FBI get down stairs PUT THAT DOG DOWN.’ My dog, Coconut, a Chihuahua, ran down the stairs through the glass and out the door. I dropped the robe and was just standing at the top of the stairs totally naked with my arms up. He told me to come downstairs, and I tried to pick up my robe and he said ‘STOP MOVING UP THERE OR WE WILL OPEN FIRE.’ Ian with his arms crossed said, ‘Look, she's naked what are we gonna do about this? It's cold outside.’”
Kruse was allowed to fashion her robe as more orders were barked her way and a police drone “as loud as a chainsaw” buzzed her face. She described the scene as believing “there were about 50 people with guns there: Keene PD, Cheshire County Sheriff, FBI, ATF, IRS, and US Treasury.”
After a few more harrowing hours, Kruse was released. Freeman was taken into custody and was jailed pending bail hearings and motions.
“I have spoken to Ian on the phone twice” since the arrest, Kruse revealed.
“He was very sad and bored because he is still in ‘booking’ so they don't have any privileges such as reading books. The second time I spoke to him he was in much better spirits. He said he was in a cold cell (his feet get so cold sometimes they go numb so this is very cruel he's really skinny), but then they switched him to a warmer cell. He asked me to help troubleshoot some stuff for the Free Talk Live.”
She characterized her emotional state as “really bad for the first four days. I cried in the middle of sentences, jumped constantly, cried when I saw anything that reminded me of Ian. He is my best friend.”
Beyond the personal story is the very real chilling effect such dramatic law enforcement displays are intended to have upon crypto usage. Already, at least one Bitcoin ATM somehow connected to Freeman has been removed from a local bar, for example.
A donation page has been set up to assist all six defendants in legal costs.
Quick Bites
Comedian Tim Dillon to Speak in Miami
As the global pandemic winds down (hopefully), the entire ecosystem seems poised to gather again at conferences. The Bitcoin Conference hosted by Bitcoin Magazine is set for June 4-5 in Miami, Florida at the Mana Wynwood. The growing list of speakers now includes comedian Tim Dillon. He’s a frequent guest on podcasts, has toured the US extensively, and hosts his own show. Dillon is also a notorious snarky skeptic of crypto and isn’t afraid to make light of enthusiasts who can often take themselves much too seriously.
John Cleese Mocks NFTs … or does he!
Referring to himself as the Unnamed Artist, satirist and legendary comedian John Cleese has entered the non-fungible token craze. Through online auction house OpenSea, Cleese commissioned his BrooklynbridgeNFT.
Available on opensea for just $69 million!
“It is time you meet my alter ego "Unnamed Artist" I'm delighted to offer you the opportunity of a lifetime. I'm selling my 1st NFT. Though bidding starts at 100.00, you can ‘BUY IT NOW’ for 69,346,250.50!,” Cleese tweeted, poking fun at the phenomenon and Beeple.
Essentially a Substitute for Gold
How can central banks innovate in the digital age? is the 46 minute webinar hosted by the Bank of International Settlements (BIS). Agustín Carstens, Gillian Tett, Jens Weidmann, and Federal Reserve Chairman Jerome H Powell participated in a discussion that focused in part on cryptocurrencies like Bitcoin. Powell seemed to downplay what he called crypto assets, essentially relegating them to speculation. He did however say the quiet part out loud, explaining Bitcoin was “essentially a substitute for gold rather than for the dollar.”
Get Ready to Fight
Cryptocurrencies are clearly having a moment, be it price action, NFTs, or even institutional adoption. Not everyone is enthused, however. Popular US exchange Kraken CEO Jesse Powell mused, “After 10 years in crypto, for the first time, it feels like we are entering the early stages of mainstream adoption. Am I relieved? No. I'm fearful because it marks the end of our ability to be ignored. Get ready to fight.”
Bitcoin Bank Moving Forward
With its latest round of funding, Wyoming-based Avanti Financial Group is $44 million closer to establishing a banking first in the US. The start-up digital asset bank closed a recent Series A financing round, raising $37 million. “Use of proceeds is to fund Avanti's required regulatory capital needed for launch, as well as to fund engineering build and other operating expenses. The offering was upsized twice due to market demand,” a press release stressed. Founder and CEO Caitlyn Long explained, Avanti is building "a new breed of bank that services Bitcoin and also offers meaningful API capabilities for U.S. dollar transactions to tech-savvy customers.”
By C. Edward Kelso, NBTV contributor.
Find more of Kelso’s work here: @coinfugazi / coinfugazi.com