In a fresh legal battle, Craig Wright has filed a jaw-dropping £911 billion (approximately $1.18 trillion USD) lawsuit, accusing Bitcoin developers of fundamentally altering the original vision of Bitcoin and misleading the public.
Filed in the High Court of Chancery Division in London, it takes aim at Bitcoin Core developers and Jack Dorsey’s company, Block (formerly Square), accusing them of altering Bitcoin’s protocol at the expense of Bitcoin Satoshi’s Vision (BSV).
Wright’s lawsuit centers on the assertion that Bitcoin has deviated from the principles laid out by its anonymous creator, Satoshi Nakamoto—who Wright still claims to be. His argument is that with the introduction of key upgrades, such as SegWit in 2017 and Taproot in 2021, Bitcoin (BTC) has transformed into something entirely different, no longer representing the peer-to-peer electronic cash system Nakamoto envisioned.
SegWit aimed to improve scalability and fix bugs like transaction malleability, while Taproot enhanced privacy, data efficiency, and reduced transaction costs. These upgrades, embraced by the Bitcoin community as necessary steps for Bitcoin’s evolution, have made the network more functional and efficient, especially as global demand for digital currency grows.
Wright, however, insists that these upgrades have altered the protocol so drastically that it’s misleading to call BTC “Bitcoin” at all. Instead, Wright argues that BSV, a hard fork from 2017, is the real Bitcoin, unaltered and true to Nakamoto’s ideals. As a result, he is seeking financial compensation for what he believes is market manipulation that has led to BSV being undervalued.
This isn’t Wright’s first time in the legal arena regarding Bitcoin. His previous claim to be Satoshi Nakamoto was rejected by a UK court, which ruled that Wright is not the creator of Bitcoin. Despite the court’s ruling, Wright continues to assert his claim and push forward with lawsuits aimed at reshaping the narrative surrounding Bitcoin’s development.
Bitcoin’s Necessary Evolution
Bitcoin is not the same today as it was in 2009, and that’s exactly why it continues to thrive. Like all groundbreaking technologies, Bitcoin has evolved to meet new challenges and demands. The upgrades Wright criticizes have been crucial to Bitcoin’s growth, enabling it to handle more transactions, reduce fees, and offer better privacy—all without compromising its decentralized nature.
Without these necessary changes, Bitcoin would have struggled to maintain its dominance. SegWit, by increasing transaction capacity, helped Bitcoin keep pace with growing user demand. Taproot built on that foundation, improving privacy and transaction efficiency, making Bitcoin more versatile and scalable. These improvements have enabled Bitcoin to remain the leading cryptocurrency, supporting not just peer-to-peer transactions, but a wide array of financial applications, from payments to decentralized finance (DeFi).
What Wright’s claim that Bitcoin Core developers have deviated from Nakamoto’s vision overlooks is the reality that Bitcoin was always meant to adapt. Nakamoto himself suggested that Bitcoin would require modifications to scale. Keeping Bitcoin stuck in its original form would limit its potential and stifle its ability to meet the evolving demands of the digital economy.
Hodlonaut, a prominent Bitcoin community member who previously won a defamation case against Wright in Norway, didn’t hold back in his critique of the latest legal action.
In a statement made to Forbes, Hodlonaut said, “When no reputable law firm is willing to keep representing his torrent of lies and forgeries, it is very much in character for Mr. Wright to start using ChatGPT to represent him in ever more delusional legal antics. It will end badly for Mr. Wright, of course.”
“Hodlonaut, who has previously won a defamation case against Wright in Norway, criticized Wright’s latest legal action. In a statement made to Forbes, he said, “When no reputable law firm is willing to keep representing his torrent of lies and forgeries, it is very much in…
— hodlonaut (@hodlonaut) October 18, 2024
The Market Speaks
At the time of the filing, Bitcoin (BTC) was trading at around $62,000, while BSV sat at just $65. Wright claims that this disparity is due to developers misleading the public into believing that BTC remains the true Bitcoin. However, the vast difference in market value between BTC and BSV reflects more than just technical changes. It’s a clear indication of user preference, adoption, and market confidence in the future of Bitcoin.
Bitcoin’s ongoing dominance is a direct result of its utility, security, and the trust it has earned from users and institutions worldwide. It has proven itself as a reliable store of value and a functional medium for transactions. Its robust development community and widespread adoption make Bitcoin the undisputed leader in the cryptocurrency space.
In contrast, BSV has struggled to gain traction. It remains a niche asset with limited real-world use. The gap in market value between BTC and BSV is not the result of deception, but of a clear demand for a more versatile, secure, and scalable Bitcoin network. The upgrades that Wright challenges are the very ones that have allowed Bitcoin to thrive.