In a groundbreaking decision on March 14, 2024, Judge James Mellor of the United Kingdom dismissed Craig Wright’s decade-old claim of being Satoshi Nakamoto, the pseudonymous creator of Bitcoin (BTC).
This ruling came after a lengthy legal battle between Wright and the Crypto Open Patent Alliance (COPA), a coalition of prominent cryptocurrency companies that sought to prevent Wright from asserting ownership over Bitcoin’s core intellectual property (IP).
COPA filed a case against Wright in 2023, alleging that he had engaged in widespread document forgery to support his claims of being Nakamoto. They sought injunctive relief to prevent Wright from continuing to assert his identity as the Bitcoin creator, which could have had significant implications for the cryptocurrency industry.
Closing arguments in the high-profile case began on March 12 in London, with COPA’s legal team strongly criticizing Wright’s credibility. The alliance’s legal team concluded by stating:
Ultimately, Judge Mellor’s ruling was clear and definitive, stating that Wright had failed to provide any credible evidence to support his claims of being Nakamoto. He dismissed Wright’s assertions and supporting documents as unreliable, effectively ending his longstanding attempts to claim ownership over Bitcoin’s design IP. Mellor concluded the proceedings by stating:
“The author of the Bitcoin white paper is not Dr. Wright. Dr. Wright is not the person who operated under the pseudonym Satoshi Nakamoto from 2008 to 2011. Dr. Wright is not the creator of the Bitcoin system […] he is not the author of the initial versions of the Bitcoin software either.”
The Mystery of Satoshi Nakamoto
The identity of Satoshi Nakamoto has been a subject of intense speculation and debate within the cryptocurrency community for over a decade. This has become especially true as the digital currency revolution has gained momentum, with the industry’s total market capitalization approaching $3 trillion in recent weeks.
Many individuals have claimed or been linked to Nakamoto’s identity over the years, but Wright’s assertions have been among the most persistent and controversial.
Wright first made his claim in 2016, providing what he claimed to be cryptographic evidence. However, his evidence was met with skepticism from the cryptocurrency community, with many experts questioning its validity and pointing out inconsistencies in his accounts.
Despite the initial skepticism, Wright continued to present additional evidence to support his identity as Nakamoto, including alleged early Bitcoin coding samples, personal writings, and other materials from the early days of Bitcoin’s development.
However, independent investigations and analyses by cryptography experts consistently cast doubt on the authenticity of Wright’s evidence. Many within the cryptocurrency community accused him of fabricating documents and attempting to mislead the public about his involvement in Bitcoin’s creation.
The COPA Lawsuit and Wright’s Legal Troubles
As Wright continued to make controversial claims, putting Bitcoin’s future at risk, the Crypto Open Patent Alliance was formed in 2020. This alliance, which includes prominent cryptocurrency companies like Coinbase, Block, Meta, MicroStrategy, Kraken, Paradigm, Uniswap, and Worldcoin, aimed to encourage the adoption and advancement of cryptocurrency-related technologies while addressing any legal issues hindering the ecosystem’s growth.
In 2023, COPA filed a lawsuit against Wright and his associates, seeking to prevent him from claiming to be Nakamoto. During the trial, COPA presented evidence and expert testimony challenging the validity of Wright’s claims and the authenticity of the documents he had provided.
Forensic analysts and cryptography experts testified that many of Wright’s alleged early Bitcoin materials showed signs of tampering and fabrication, further casting doubt on his assertions.
In addition to the COPA lawsuit, Wright had previously sued 13 Bitcoin Core developers and a group of companies for alleged copyright violations related to the Bitcoin white paper and codebase. However, many in the cryptocurrency community argued that Wright’s claims were baseless, as the Bitcoin white paper and codebase have long been considered open-source and available for use and modification by anyone.
The Implications for Bitcoin’s Future
Judge Mellor’s ruling has significant implications for the cryptocurrency industry and the future of Bitcoin. Dismissing Wright’s claims reinforces the decentralized nature of the digital asset, allowing the community to focus on its development and adoption without the threat of unfounded ownership claims.
Furthermore, the ruling serves as a warning against fraudulent attempts to undermine the broader cryptocurrency ecosystem. Moving forward, the Bitcoin community is likely to shift its focus to exploring new use cases and fostering mainstream acceptance, rather than dealing with legal battles.