Latest / TFTC: A Bitcoin Podcast / #742: Why Privacy Is Non-Negotiable with Lauren Rodriguez
Transcript
- 0:00You've had a dynamic where money has become freer than free.
- 0:10We talk about a Fed just gone nuts.
- 0:13All the central banks going nuts.
- 0:16So it's all acting like safe haven.
- 0:18I believe that in a world where central bankers are tripping over themselves to devalue their currency, Bitcoin wins.
- 0:25In the world of fiat currencies, Bitcoin is the victor.
- 0:28I mean, that's part of the bull case for Bitcoin.
- 0:31If you're not paying attention, you probably should be.
- 0:36Lauren, I wish I didn't have to have you on the show.
- 0:41We were just talking before we hit record and I spent some time with you and Keone over the years.
- 0:50And it was clear to me that you guys liked staying out of the limelight and just putting your heads down and working on Samurai Wallet.
- 1:04And you've been thrust into the public eye as you are forced to fight for the freedom of your husband.
- 1:13And I've been thinking about this interview for a few days now, and it's like where to start.
- 1:21And I guess the best place to start is how are you?
- 1:25How has this whole process been for you?
- 1:28Hi. Well, first, thank you for having me on, Marty.
- 1:31As you said, we have known each other for a while.
- 1:34So, you know, it's nice to be speaking to kind of a friend in that sense.
- 1:38But, yeah, I'd rather not be here.
- 1:41I'd rather not be in this position.
- 1:46It's hard.
- 1:48It's hard to wake up and not have my husband here and not have, you know, the person I would turn to to ask advice on kind of these speaking matters or what to say or how to, you know, keep fighting for him.
- 2:10and I can't ask him.
- 2:14I can't turn to him.
- 2:15I can't message him.
- 2:16I have to wait for, you know,
- 2:18when he can call from prison.
- 2:19And that's a difficult position to be in.
- 2:23But I'm also grateful that people like you
- 2:27are allowing me a platform
- 2:29to talk about the real injustices of this case
- 2:33and the fact that we're still here and still fighting.
- 2:36So his kind of memory and, you know,
- 2:39him as a person isn't dying on the outside, that people can know that this is still going on.
- 2:47So thank you.
- 2:50No need to thank me.
- 2:52We've been in this battle together for many years before even the case began,
- 3:00because I think what Keone, Bill, and others were being persecuted right now,
- 3:06really fought for something that I deeply believe is a human right,
- 3:12which is the right to privacy, and in this case, financial privacy.
- 3:15I think Matt O'Dell says it best.
- 3:19You can't have freedom without financial privacy.
- 3:23It is a prerequisite.
- 3:24If you want to build wealth, you need to be able to do that
- 3:26in a way that protects your privacy.
- 3:28And that's why we supported Samurai Wallet on Rabbit Hole Recap via 1031
- 3:34on for many years because it's something that we truly believe in.
- 3:40And it's crazy that we live in a time where it is looked at as something that is dirty,
- 3:46that you shouldn't want to find.
- 3:48And as we accelerate toward the AI future, where it seems like the digital panopticon
- 3:56can get even stronger, it's incredibly scary that you have freedom fighters fighting for
- 4:02the right to privacy being thrown in a cage.
- 4:07And so much of this is just, you know, obviously it's been ramping up.
- 4:10And as you, you know, so rightly pointed to the potential with AI,
- 4:16but a lot of this came about in the 90s and then the early 2000s with the Patriot Act.
- 4:21Like this in our lifetime has massively ramped up this attack on privacy.
- 4:26And, you know, you said you can't have you can't have freedom and liberty without without privacy, financial privacy.
- 4:34And, you know, that also goes to speech, you know, speech transactions, who you interact with via your your money is is a form of speech.
- 4:43And so it's just affects so much of the founding principles of this country.
- 4:49And, yes.
- 4:51Was this a topic that you and Kiyone bonded over, or was this something that you came to learn just via his metasus by hanging out with him?
- 5:02I was definitely in the libertarian leanings when we met, but he's brilliant and I definitely have learned a lot from him over the years.
- 5:15Yeah, but I think I had that kind of – I think that's something that bonded us initially, that we had those similar sentiments.
- 5:24Yeah. How is he doing?
- 5:29It's hard. I mean, thankfully, he's safe.
- 5:31He's not in a dangerous place, but at the same time, it's prison.
- 5:37He doesn't deserve to be there.
- 5:38It's unjust like yesterday.
- 5:41So the way prison works is you have a certain amount of minutes in a month, and that's capped.
- 5:48So you kind of have to budget those and kind of say, okay, so we're going to call for this many minutes a day so that we can talk.
- 5:56And usually we have a 6 a.m. call, and that didn't come.
- 6:00and by like 10 30 i was getting really anxious because it you know it's been hours so i called
- 6:07the prison and they give some nondescript vop answer that yeah he's there and he's well not
- 6:13sure what that means but uh and then it was hours later and and then finally he was able to call and
- 6:20there was a there had been a system-wide outage for the emails and in the phone system but
- 6:28my mind obviously goes to, okay, well, as the time ticked on, you know, worse and worst case
- 6:36scenarios, is he injured? Do they not know he's injured? Is, you know, did something happen? Like,
- 6:41so while it is safe and thankfully he's, he's fine and it was just a technical issue,
- 6:47those feelings are, are always on my mind. Um, it's also for, for his side, for someone who was
- 6:56building something that he loved and believed in for, you know, a decade and really putting his,
- 7:02you know, heart into it, you know, way more than 40 hours a week, right? Like that's, that's what
- 7:10he breathed was, was building Samurai Wallet and, and kind of what was the ethos behind that.
- 7:18And then, so to have that stripped away as well, it's, it's very difficult for, I think, anyone who
- 7:25is a contributing member of society to be thrown into a cage,
- 7:32which really you're, you know, boredom.
- 7:35Boredom is what gets you the monotony of day to day.
- 7:38And, and just trying to, you know, when hours stretch in,
- 7:44and they feel like a week, like it just really kind of grinds you down.
- 7:48So while he's fine, it's, it's, and, you know, he'll get through it.
- 7:52it's still not a good place.
- 7:56It's still prison.
- 7:58Yeah. I mean,
- 8:00and you're in a prison of your own, right?
- 8:03Though you're out here,
- 8:04it's like you just described.
- 8:07You don't have your husband there
- 8:08to answer questions.
- 8:10And that can be a mental prison.
- 8:12Like you said, the worry that you had
- 8:13when you didn't get the 6 a.m. call.
- 8:15And that's like the most disheartening.
- 8:18The thing about all this is the collateral damage.
- 8:22For you and everybody else, the chilling effect that spread across the industry.
- 8:29And when you get down to the brass tacks of it, I mean, it seems clear to me that what the DOJ was charging,
- 8:40the only a bill for, was not legitimate.
- 8:44I mean, as defined by FinCEN when they went to ask for an opinion,
- 8:49what was it, three or six months before they actually charged them?
- 8:54Six months. And yeah, that's right. The regulator who's under Treasury,
- 8:59who's mandated by Congress actually enforced these laws. And there's just so many.
- 9:06And that's a Fifth Amendment violation right there. You can't just change. You're not supposed
- 9:12to just be able to change the law or interpretation of the law and charge people without any kind of
- 9:18noticed, but that's exactly what they did in this case. And just kind of time after time,
- 9:25how much the system has failed in our case. And again, it's, you know, as much as like,
- 9:35obviously, you know, I care because it happened to me. It has opened my eyes to that. This is
- 9:40kind of prolific in, in our system, unfortunately, that especially in kind of these white collar
- 9:45cases. There are some that I'm sure are just, but a lot of them are these twisting effects.
- 9:51And the way the US law is written is it's supposed to be that if there's any ambiguity
- 9:58in the law, it's supposed to go to the side of the defendants. So if let's say, and I don't think
- 10:07it was, I think it was clear cut when the regulators themselves are saying, as you said,
- 10:12you know, that they did not break a law. But let's say there's somehow ambiguity in that,
- 10:17it should have still sided with the, with us. And it didn't. And, you know, every step of the way,
- 10:24the, particularly, you know, our judge, like, just not, not even hearing arguments on it, just,
- 10:31just denying all, all motions. And it's just, it's really, it's hard to come to terms with,
- 10:38Because in my opinion, you know, we no longer live in a free society if this is the case.
- 10:44If they can, on a DOJ's, on a prosecutor's whim, just decide that the law that you've been operating under for 10 years doesn't matter anymore.
- 10:58And they're going to charge you and ruin your life anyways.
- 11:01And ruin your loved one's lives.
- 11:03Yeah.
- 11:04That was, I mean, talking about Keone last fall.
- 11:07That was the crazy thing.
- 11:08the SDNY particularly seems to have a particular perspective on what laws they're, what statutes
- 11:19they can abuse in terms of not playing by the book.
- 11:24And I think that was the other interesting details.
- 11:28The judges switch midway through the trial, right?
- 11:31And you attempted to say, okay, we got a new judge.
- 11:35Let's try to have a conversation.
- 11:38They completely stonewalled you.
- 11:41Yeah.
- 11:41Yeah.
- 11:41It was actually just so our first judge we had for over a year.
- 11:46And the way he operated his court is he wanted all these big motions and to have one at the same time and then have one large hearing.
- 11:55It would have been our first real large hearing in front of him where the motions would be argued and then he would take his time and decide on it.
- 12:02So we had presented, I think there was probably over six different motions to him.
- 12:08And then three days before we were supposed to appear in front of him is when we got the change of judge.
- 12:13So she only had three days to review pages and pages of documents, get familiar with the case, get familiar with obviously a complex topic such as Bitcoin and CoinJoin.
- 12:23And, you know, these judges are supposed to be experts in the law.
- 12:28they can't be experts in everything kind of case that comes before them.
- 12:33But apparently she thought that that she was enough.
- 12:35And, you know, I would say there is bias, but, you know, that's my opinion.
- 12:44And I mean, I imagine there are people who are listening to this who are unfamiliar with
- 12:49the Samurai case.
- 12:50I think maybe now it's important since we're alluding to particular details of the case
- 12:54and the charges, maybe from your perspective,
- 12:57explaining exactly what happened in terms of what they were charged with
- 13:01and where the judge, Bella Fallon,
- 13:08and her ruling and her view of what Samurai Wallet actually was
- 13:14at the end of the day.
- 13:16Yeah, so again, Samurai Wallet was a non-custodial open-source Bitcoin wallet
- 13:21like any other wallet.
- 13:22What differentiated them was they had some added, again, non-custodial but privacy features built on top.
- 13:31They operated for 10 years, and we're developing this, and we're operating under guidance put out by the Financial Crimes Enforcement Network, FinCEN,
- 13:42who's, as we said earlier, the regulator in charge of MSB, money service business, and money laundering.
- 13:51And like they kind of anything to do with finances, they're the regulator that implements those regulations and laws.
- 14:00And so they're following guidance and building their tools and going around, you know, continuing on for 10 years.
- 14:07And on April 24th, 2024, we were rated a simultaneous raid at our home here in Pennsylvania, as well as Bill's home in Portugal.
- 14:19It was a simultaneous international coordinated raid, the millions of dollars they must have put into that when they could have just, again, messaged our attorney and said, hey, we want to talk to you.
- 14:29This was our first interaction.
- 14:31They never kind of sent letters saying, what information do you have?
- 14:37Can you help us?
- 14:38Don't destroy evidence.
- 14:39There's all kinds of procedural things that they would usually do, especially if it was an entity that was supposed to be regulated, like a bank or something.
- 14:48They don't just, you know, raid their CEO's house.
- 14:53And so that's where it started.
- 14:57And we found out that they were charging with conspiracy, two conspiracy accounts.
- 15:03One, conspiracy to operate an unlicensed money transmitter business and conspiracy to money launder.
- 15:08and a lot of much smarter people than I have gone into this
- 15:14and kind of explained why this really has no standing.
- 15:21But basically, it didn't matter when they get you in their sights.
- 15:29They go full steam ahead.
- 15:32And it didn't matter that, as you said, six months prior to indictment,
- 15:36They asked the regulator whether Samurai was in violation of these regulations and laws, and they said no.
- 15:43They brought charges anyways.
- 15:46And, you know, these cases kind of go back to in the 90s.
- 15:52We had the Bernstein who went to the Supreme Court and determined that code is speech.
- 16:00The code you put out is speech.
- 16:01And then in a more recent case, about a month ago, another Supreme Court ruling where an ISP was found not liable for copyright infringement committed by their users, even though they knew that these users were violating copyright laws.
- 16:18So the fact that, I mean, to me, that's applicable to this, right? You're saying that the tools put out, the code written that users did things and was a small percentage of users that claim we never actually got far enough to try to analyze to see if their numbers were accurate.
- 16:41But by the government's own numbers, they were only claiming, I think, under 10% of users as having funds from ill-gotten gains.
- 16:52And we're not and never were in support of criminality or scams, but that's just a fact of any open technology, the internet, messaging apps, Bitcoin as a whole.
- 17:08unfortunately if a tool works
- 17:11criminals will use it
- 17:12and
- 17:14kind of lost my train of thought but that like that what they were alleging that that they knowing that criminals could potentially use the tool was enough to to to charge them
- 17:34with a crime, even though they had never had any interaction, there was never communication with
- 17:39any criminals, obviously, because they wouldn't have charged conspiracy charges at that point.
- 17:44They said the conspiracy began when they created, when they decide to code the wallet, to create the wallet.
- 17:52So it really is an attack on code and therefore speech.
- 17:58Yeah.
- 17:59I mean, just the nature of it all, it's very enraging.
- 18:02When you think about the simultaneous no-knock raids, like literally showing up with military-grade equipment when they could have easily reached out to your lawyers to say,
- 18:13we don't like what you're doing.
- 18:15Like we need,
- 18:16we need to answer some questions.
- 18:17And then you think about just the two tiered justice system that exists.
- 18:22When you think about the big banks and all the fraud that they've knowingly
- 18:26enabled.
- 18:27I mean,
- 18:27we can talk about Jeffrey Epstein and Deutsche Bank and JP Morgan.
- 18:31And the fact that when it gets found out that they were knowingly aiding and
- 18:37abetting that particular individual,
- 18:40and they get slapped on the wrist with a fine that is just the cost of doing business when
- 18:44people like Keone and Bill were not doing anything close to that in terms of coordination
- 18:51with actual criminals. On top of that, they had OXT, which I think a lot of people forget,
- 18:57which was a platform for average people to be able to use the powerful tools that someone like
- 19:05Chainalysis has. And there were many times where they helped Bitcoiners who had been, you know,
- 19:12robbed or scammed to help trace their funds at no cost to the user just because it's the right
- 19:17thing to do. So these aren't, in no way were they encouraging or, you know, crime. They were
- 19:26trying to help victims of crime. And again, just another tool that was taken off the board
- 19:31for average people for victims.
- 19:36And it was stripped away and taken down along with the rest of the servers.
- 19:45OXT was a great tool.
- 19:47I remember back in like 2018, I think,
- 19:54Laurent, I think it was before Samurai acquired OXT.
- 19:59But I remember hopping in there at Laurent and doing an analysis on the dust spamming attacks that led up to the fork wars in 2017.
- 20:10It was just like an incredible tool how detailed it got.
- 20:14But I think the fact that they came down with the hammer was, I mean, the no-knock raids really gets to me personally.
- 20:25because it's like, number one, you didn't have to use that much force.
- 20:28You have to, I mean, sure, you were scared shitless
- 20:32while it was going on middle of the night.
- 20:35And it's very clearly a bully tactic to say, hey, we can't have this.
- 20:45Like we can't have individuals using these these tools to attain privacy.
- 20:50We need all the information.
- 20:52We need to be able to tag and bag every single person as they're transacting online, which is a very, very scary thought.
- 21:01That is the position of the government or Department of Justice, at the very least, is that no common man.
- 21:13You can't do that. You can't have privacy. You need everything.
- 21:16And then you think of all of the waste and overt fraud that exists in the government.
- 21:25And it's exhausting at a certain point.
- 21:28It's like, hey, I'm just trying to live my life to save and spend in the money that I deem to be superior to the dollar.
- 21:37and for that thought crime of thinking that I should be able to use this alternative currency and payments rail,
- 21:49and not only that, but do so privately.
- 21:53It's frustrating for those of us who are freedom-oriented,
- 21:58knowing that just by trying to get a little taste of freedom in our financial lives,
- 22:04that they will come down with the force of guns and military equipment to send a message to the rest.
- 22:14Originally, they came after Bitcoin and they didn't like Bitcoin.
- 22:21You know, back in, we can kind of call back to there.
- 22:24And then I think they came around and realized, like you're saying, that Bitcoin without privacy is the perfect panopticon.
- 22:31And so how can they use that to their advantage? And that's to scare development, because it wasn't just about us. Although, you know, it was and they took samurai off the board from people to be able to gain some privacy. But you have legal protections in the legacy system, or you're supposed to where people can't just look into your bank account, they're supposed to get a warrant, or there's, there's some third party doctrines that that kind of ease that.
- 23:00But there's restrictions when Bitcoin, you don't have that. And with Samurai, you got just that transactional privacy back to protect yourself, to protect your loved ones. Unfortunately, we see year on year a ramp up of attacks on people because something gets leaked or traced that they might be a large holder of Bitcoin.
- 23:24And it's just like it was really just providing tools to give basic levels of privacy.
- 23:32And they've scared, I think, the market away from working on that, which was the desired outcome.
- 23:41And it is.
- 23:42It just has so many implications for each and every person, each and every user of Bitcoin.
- 23:51It's the scariest thing to think about.
- 23:54It is. I mean, just look what's going on with the $5 rent tax in France. Not only France, I mean, France is drawing the focus of many people because the numbers are astounding. And it's due to the lack of privacy the French citizens have, particularly as it pertains to Bitcoin ownership, they're forced to declare it to the government on their tax forms.
- 24:17And then those DAX forms are public.
- 24:20And so you have a list for criminals who are willing to break the law to physically harm people to steal their Bitcoin.
- 24:30You basically just hand them over a list of targets that they can begin to pick off.
- 24:35And it's insane that this is not recognized by the government as a physical security issue.
- 24:42And I think to your point about what Samurai Wallet built with CoinJoin, Ricochet, Stowaway, all these different tools that made it easier to transact privately.
- 24:55I mean, this is a physical security risk because if you're going to be using Bitcoin as money and you're interacting with a bunch of random people as you go throughout your day to buy things,
- 25:04They shouldn't know. They shouldn't be able to receive a UTXO and then basically derive how much Bitcoin you have simply because you're going to buy a sandwich or a grill, whatever it may be.
- 25:17This is like a common sense.
- 25:19There's no reason that when I go to interact with a merchant that they should know how much money is in my bank account.
- 25:29It's exactly that.
- 25:31Yeah, you're exactly right.
- 25:32And that's when coming after Samurai and then the repercussions of other companies pulling out of offering their services to Americans and then has the implications of the wider world, right?
- 25:45What policy is set here dictates to other countries as well.
- 25:53And there's a lot of people in other countries that, you know, you mentioned France, but there's dictatorships that their ability to transact privately in Bitcoin is literally a life or death for these freedom fighters.
- 26:10And so it has global implications.
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- 28:18Have you become disheartened
- 28:19throughout all this as a reaction?
- 28:26What do you think the reaction
- 28:28from the overall community or the builders?
- 28:30Because it has been interesting to watch
- 28:32the proliferation of things like eCash.
- 28:36And I think proliferation is a strong word,
- 28:38But I think the maturation, things like eCash, which have a tradeoff, you get increased privacy for a custody tradeoff.
- 28:47The interoperability between all these second layer networks seems to be increasing privacy.
- 28:52And the advancements are certainly moving forward and they seem to be relatively under the radar.
- 28:59So I'm actually personally pretty bullish on private Bitcoin usage from a tech perspective.
- 29:06But do you think we're in a quiet lull where the state is just like, OK, we've got a couple examples on the board.
- 29:15We'll lay low and then come down with a hammer later.
- 29:17Or do you think we're actually making progress on getting the message out there that privacy is a human right and we should be able to use these these technologies privately?
- 29:28I think it's a real risk.
- 29:29I think every builder in the space specifically, you know, you're saying these, and they're, you know, all very, very smart options, these layer twos and different things, but the actual coders are at risk.
- 29:41The precedent, the sets, that is if you're working on something that they don't like, an accustomed user of your software can do something with it that we deem is, you know, bad, that we will come after you.
- 29:55You are liable for the actions of your users.
- 29:57This has implications for miners, for, you know, Lightning Node channel operators, for eCash, whatever they're called.
- 30:10Mint operators.
- 30:11Mint operator, yeah.
- 30:12It really does.
- 30:13And, you know, again, even outside of the Bitcoin space, which obviously that's what we care about, but I think a lot of us probably are using some kind of secured messaging app.
- 30:26And all of these also, if you're writing code, if someone's using your messaging software to plan a bank heist, you're now part of that conspiracy by providing them software.
- 30:41That's what this says.
- 30:42And so as much as I'm hopeful, and it's great to see that there are so many, you know, you and Matt had mentioned in one of the panels at the conference about how percentage-wise between kind of cypherpunks and, you know, say suits, their percentage might be higher, but the overall number of people working on kind of cypherpunk technology is up.
- 31:09And that's so great. But I do worry that they can come and bring these same theories, these same charges again. And there might be someone else's wife and you might have to be interviewing someone else's wife in a couple years when they decide that, okay, these Bitcoiners are still a nuisance. Let's show them a little force again.
- 31:36Yeah. No, that's something that everybody who's listening should be aware of, too, because, I mean, we may be in a lull in terms of indictments and charges being brought against developers in the space.
- 31:49But if you actually pay attention to what the administration is putting out there, not even the administration, but what's being put in the Genius Act, Clarity Act, and I think the smoking gun in terms of the long-term trajectory of where just the government, I won't pick on an administration, but I just think the federal government in general wants to go.
- 32:13But if you look at the crypto brief that was released last July, I mean, they explicitly say that they want to expand the Patriot Act to include digital currencies, which would preclude that open source software developers try to embed KYC AML compliance into their projects, which is number one, a non-start.
- 32:33Number two, technically infeasible. If it's open source software, anybody could fork it and take out the KYC AML compliance.
- 32:44And not to mention pointless, as we've seen since the Patriot Act was introduced, that criminals will find a way.
- 32:52And it only hurts law-abiding your average citizen.
- 32:56And those are the only people that are hurt, the people that are willing to follow these laws and give their selfies with their IDs and then to have that data stolen.
- 33:05Yeah. And then on top of the physical risk, not only the data stolen, but the data used to locate you and meet space and hold you at gunpoint to steal your Bitcoin.
- 33:15And it's not only Bitcoin, I mean, credit fraud, all that, steal your credit card information
- 33:21and put you into insane amounts of debt and force you to go through the legal system to
- 33:26try to prove that, hey, this wasn't me that spent this money.
- 33:28It is completely ineffective.
- 33:30I think the data as of five years ago, I think it's the last time I checked, but I think
- 33:35if you're looking at, if you're trying to be objective of the adequacy of KYC AML compliance
- 33:43laws, I think something like 0.01% of money that was deemed to be laundered was actually
- 33:52prevented by these KYC AML regulations.
- 33:57And so, and that's what I worry about is like how much of a sunk cost, it is a massive sunk
- 34:02cost fallacy because we're what, when was the Patriot Act passed?
- 34:052002 to 2003.
- 34:07we're 24 to 23 years into this and it's just become the water we swim in is that we're all
- 34:18expected to just comply and give up all this information and time and time again literally
- 34:25every week now there's there's another hack of a database that leaks sensitive personal identifying
- 34:31information to the dark web and just increases the physical attack surface of everybody that is interacting with products and services that demand this data Yeah this is something that you know Keone and Bill were so passionate about And so
- 34:51you know, again, their life work that they put in to try to try to help people and protect people
- 34:56from this. That was a big reason. It wasn't, you know, as much of the reasons they didn't take
- 35:04KYC was, and they built their software so that they weren't required to by the regulation,
- 35:08they stayed within those bounds, was so that they wouldn't have that data for someone to steal.
- 35:15They didn't want to have that responsibility because it's a grave responsibility that I think
- 35:20a lot of these companies don't take seriously enough. And because, you know, you seem,
- 35:26you get data breaches and it's kind of, sorry, you know, sorry, this happened to you. Good luck.
- 35:32and there's still people getting, you know, emails and getting scammed from,
- 35:36from data breaches that were almost 10 years ago.
- 35:41And it's, yeah.
- 35:42No, and it's like, what?
- 35:47Now we're going to, now you got Marty Jones coming out.
- 35:50Like, what does the government exist?
- 35:51Like, what is it supposed to exist to do at the end of the day?
- 35:54It's supposed to be, as the founding fathers laid out,
- 35:57it's supposed to be a very small service area,
- 35:59just a a an agreement between the states and the federal government okay we'll protect you
- 36:06uh at the end of the day it's a brass tacks it's like hey we will um provide protection for the
- 36:11states when need be and help coordinate interstate commerce and they're not i think it's become
- 36:20abundantly clear at least in our lives as millennials that uh a lot of the actions that
- 36:26the government takes makes our lives worse off, whether it's taxation. You look at health care
- 36:32regulation, I think it's become pretty clear that the American Care Act has increased health care
- 36:39costs significantly. If you look at where tax money is being funneled to these Medicaid and
- 36:45Medicare projects that are just being raided by overt fraudsters who don't seem to be
- 36:52getting reprimanded for that. And then obviously you have the money printing aspect where people are,
- 36:59most people, 99% of people, I would say, are just regular common man people who just want to work a
- 37:06job, build a family, live somewhat comfortably. And the government in its current form seems to
- 37:14make that harder and harder to do. They want more of your money. They want more of your liberty.
- 37:20and it just forces you to ask the question,
- 37:24what are we even doing here?
- 37:26Why does this thing exist?
- 37:27And going back to the water we swim in,
- 37:31when do people come to the surface and say,
- 37:33hey, I don't like this water.
- 37:34It's pretty filthy.
- 37:36We need to change something here.
- 37:39And I really hope,
- 37:40and I think that people are starting to wake up to that,
- 37:43at least what you said,
- 37:45the fraud that we've seen being exposed by citizen journalists
- 37:49from the American government or how they haven't been holding up their end of the bargain,
- 37:57we'll say, for not doing the responses that they should or that they're expected to.
- 38:03And it goes back to the old saying, one of the scariest phrases you can hear is,
- 38:09I'm from the government and I'm here to help.
- 38:12And that's, you know, in our case, right, they part of the end result of this is
- 38:19is there was a forfeiture of the website and the app and stuff.
- 38:25But the government then allowed the website to lapse,
- 38:29and some scammers reset up the samurai website,
- 38:33probably to try to commit some kind of scam on innocent people.
- 38:37And that was the government's, that was forfeited to them.
- 38:41That was their property to protect and protect the American people and people at large, right?
- 38:48That's why they took over. Had it not been forfeited, I'm sure we could have kept it up and it wouldn't have been offering anything, but at least it wouldn't have fallen into the hands of scammers.
- 39:02And that's just like another way that there were no victims in this case.
- 39:07They never pointed to any victims because what they were saying, it was compliance violations.
- 39:12but there were real potential victims as a result of actions that the DOJ took.
- 39:21That's comedically poetic that, I mean, from a dollar amount, I think, I mean, who knows
- 39:29exactly how much money flowed through that, but to be very clear, like, even if it was a dollar,
- 39:36Like more people were harmed directly or scammed directly from the DOJ lapsing there than Keanu and Bill actually running the service itself.
- 39:49It's laughable.
- 39:50And it is funny because I don't know if you can tell, but a bit of apprehension in my voice right now, because like in the back of my mind, I'm like, I don't want to piss the government off by saying all this stuff.
- 40:01And it is that chilling effect that exists.
- 40:03It's like the act of even highlighting these very clear and absurd realities.
- 40:13Just the chilling effect is real.
- 40:15It's like, oh, am I going to be put on a list now for saying that I don't like this?
- 40:20And I'm probably already on all the lists.
- 40:22But still, it's like, ah, the self-censoring is real.
- 40:30And that's, again, going back to the point of like, what are we doing here?
- 40:32what is the water that we're swimming in?
- 40:34I think anybody listening, it's important to ask that question.
- 40:37Like, should we be afraid to even talk about this?
- 40:40Because not that I'm afraid, but I'm a bit apprehensive to really go full bore
- 40:46into what I'm thinking right now.
- 40:49I mean, so much of what they used in the case as quote-unquote evidence
- 40:53against, again, conspiracy charges.
- 40:57So they were trying to, the government pulled out posts, public posts and other comments taken out of context.
- 41:04But it was, it was all speech that they had, you know, typed or written.
- 41:10And most of it was twisted in some way to say something that really wasn't the intent.
- 41:17And if you knew either of the guys or interacted with them, you could see where they were being facetious or humorous or whatever.
- 41:30But it's true.
- 41:31And people say, well, they shouldn't have said that.
- 41:33Well, okay.
- 41:34They are operating within the bounds, again, of laws and regulations.
- 41:38Had they not been, I'm sure they would have been watching what they say.
- 41:41If you're a criminal and doing criminal things, you would not be going around and trying to say things that might be, as you said, challenging.
- 41:54You'd probably watch what you say.
- 41:55But unfortunately, I think this case shows that everyone needs to kind of be watching what they say because they could take something you said in a chat 10 years ago to a buddy and use it to throw you in jail.
- 42:08What's up, Fariqs?
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- 44:10How are you feeling in terms of the progress towards getting a part in right now?
- 44:15I think there's been a lot of momentum.
- 44:18I've been talking a lot with some people who are working on it, and I think we're definitely getting some attention.
- 44:26There definitely needs to be more attention.
- 44:27I think that's part of the reason I'm bringing you on is to draw more attention to this because it is a grave injustice.
- 44:34And any day, any minute that Keone and Bill and others that are in a similar situation for writing open source software, they're sitting in a cage.
- 44:45They need to get out immediately.
- 44:50Yeah, it's hard.
- 44:54I didn't think it would take this long. I'll say maybe that's naive, but we saw what the Bitcoin community can do when the now president of the United States got on stage at the Bitcoin conference in 2024 and announced he's going to free Ross.
- 45:18Yes, and he did. There's 35 to 70 billion estimated voting age adults within the United States who own Bitcoin.
- 45:26That is a huge voting block. And as we just saw this past week, they're here and they want something from Bitcoiners.
- 45:37They want your votes. They want your donations. They're coming to the conferences.
- 45:44They're talking about it on the floor of Congress about Bitcoin.
- 45:51And the momentum and the fact that we were able to get something done and get Roth free, which I'm so thankful for.
- 46:00I think if we let them know that this is another cause, we don't want to see Bitcoin developers in sitting in prison for non-custodial open source software and that they need to make this right too and fix this injustice.
- 46:24And I think it's a powerful enough group to get that done.
- 46:27Yeah, I think it certainly is.
- 46:30And that's, again, reiterate, I think it would be naive of anybody listening out there who's looking at the proliferation of technologies like e-cash, ARC, Spark, Lightning, their interoperability and the advancements that are being made to think that we are in the clear.
- 46:51I think without freeing the political prisoners that Keone and Bill and others.
- 47:02And then not only that, but writing, we need to write into law.
- 47:05Like if you're a developer, it's the precedent is there.
- 47:08Like you said earlier, in the 90s, during the PGP wars, we got it dated by the Supreme Court that code of speech.
- 47:19This is no different, which is one of the most frustrating things is we already have the precedent.
- 47:25It's there. The ability to write software, issue it on GitHub in an open source manner should be a nonstarter, like pretty black and white.
- 47:38It is legal. Go to speech.
- 47:40and if we don't
- 47:43free the political prisoners and then
- 47:44enshrine again
- 47:46unfortunately it seems like we have to do it again
- 47:48enshrine the right to
- 47:50develop and program
- 47:52computer software in a way
- 47:54that is deemed speech that
- 47:56every American citizen and
- 47:58hopefully
- 47:59everyone on the planet should have the right to
- 48:02we're
- 48:05living with a false sense of confidence
- 48:08I think
- 48:09do not rest on your laurels here
- 48:14because I think depending on who's in office
- 48:19at any given point in time,
- 48:20the tenor can switch rather quickly
- 48:22until we get the political prisoners released
- 48:26and enshrined into law,
- 48:28that it is okay to write code
- 48:29that allows people to use Bitcoin
- 48:32in particular ways that we're not out of the clear.
- 48:36Not only that, maybe in a more dangerous position
- 48:38And then anybody realizes because maybe they're just waiting in the in the in the tall grass or for people to to build up enough of a of a privacy infrastructure to come down with a with a sledgehammer and say, no, you're not doing this.
- 48:54Yeah, unfortunately, we still have people like Senator Elizabeth Warren, who she despises everything.
- 49:00And we have judges. There's a judge within the Southern District of New York, not our judge, but another one, one of our colleagues that, you know, made a statement shortly after our case that said, Judge Radkoff said he saw no point of cryptocurrencies other than for crime and scams.
- 49:18So these are the people that are kind of lording over us until, like you said, if we need to get some actual protections.
- 49:27And this was supposed to be an uplifting speech given by our acting Attorney General Todd Blanche at the Bitcoin conference about how it should be safe to develop.
- 49:41You should feel comfortable developing within the United States.
- 49:45But he said, you know, there was one little part that he said about knowing that you can't, something along the lines of develop knowing that criminals are using your software.
- 50:00Well, anyone, again, as we touched on earlier, anyone developing any kind of software knows that criminals, if it's open source, if you don't have a closed, I don't know, if you can't download it from anywhere, you're distributing software or making software available or writing software with the knowledge that someone could take your software and use it in a way that you never intended.
- 50:28So, yeah, I completely agree that we need to keep pushing to have some protections to free the political prisoners left over from the war on crypto.
- 50:39And, you know, it's not really over until they're free and then going further and getting some real protections so that people can develop within the United States and make it, you know, as President Trump said, he wants it to be the crypto capital of the world.
- 50:54Well, you know, there's going to be a real flight of development talent if these things aren't fixed.
- 51:03Yeah.
- 51:03Like what if somebody kidnaps somebody and somebody else and they torture them by playing a song on loop for 120 hours for an extended period of time.
- 51:15And they use Spotify to play that song to torture somebody.
- 51:19Like is Spotify liable for that torture mechanism?
- 51:23Like, is that that's a tool of torture right there for some people?
- 51:28They should have known that if someone's playing a song for 120 hours, that, yeah, it should have flagged on their back end, I guess.
- 51:34Yeah. No, I mean, just to highlight the absurdity of this all, I mean, if you extend the logic that is being used in the case of Bitcoin privacy tools, open source privacy tools.
- 51:46I mean I think if you stretch the interpretation of the law far enough like by I guess reductive reasoning he say well yeah Spotify should have known that people are using Cocoa Melon songs to torture people for 120 hours a week
- 52:09Let's see. Again, it's the absurdity of it all.
- 52:13What can anybody listening do to help your efforts and the efforts of others looking to not only free the political prisoners,
- 52:22but also make sure that nobody else becomes a political prisoner in the future?
- 52:26So first for us, please go to billandkeone.org. That's B-I-L-L-A-N-D-K-E-O-N-N-E.org. There you can find links to sign our petition calling for a presidential pardon, as well as links to donate.
- 52:44unfortunately you know i hate to do this this is not something i don't think anyone likes to do but
- 52:51we are you know millions two million dollars in debt legal fees and to try to kind of continue
- 52:57raising awareness it does take money that's just kind of the bottom line of that uh but you know
- 53:06further than that if you have connections or ideas or you know something please reach out to me i
- 53:12I would love to speak with you.
- 53:15You can find me on X is probably the best place or contact me.
- 53:19There's an email address at the bottom of that website.
- 53:23And then, you know, further, like if this is something that resonates with you, like your voice is not too small.
- 53:31You know, you can post about it.
- 53:32You can speak about it.
- 53:33You can let your families know.
- 53:34You can contact your representatives and say, hey, you know, you want something for me.
- 53:39We have midterms coming up.
- 53:40and these politicians are out there looking for something from you,
- 53:44it's okay to ask them for something back.
- 53:46And that's to lend their voice as well to calling for an end of this,
- 53:52you know, this war on crypto and free the political prisoners.
- 53:56Yeah.
- 53:57So just thinking about it, I was doing this last week at the conference
- 54:02for Bitcoin to Minimus blocks,
- 54:04spun up this website to easily go to and find your representative and send them a message about that.
- 54:11In the case of pardons, is it just as impactful?
- 54:14Obviously, they're not passing a law, but if we get enough pings to different representatives across the country,
- 54:20and they shoot it up the ladder to the president, like, hey, a lot of my constituents are very worried about this particular prisoners
- 54:30and would like to see them released is basically just a social pressure campaign that eventually
- 54:37you hit a tipping point where it's like, okay, there's enough of a critical mass.
- 54:42It seems pretty clear that these guys were wrongly charged and thrown in prison.
- 54:48I think it is.
- 54:49You know, President Trump, he's dealt with this office that came after us.
- 54:54Like the Southern District of New York came after him and his family.
- 54:57I think he if he was actually presented with the case in front of him, like would definitely see the merits of it and understand it.
- 55:06So I think he is a fair guy, but it's a matter of he is the president.
- 55:12There's a lot going on. So it needs to be raised to a level where he.
- 55:20You know, it's on his agenda by whoever that is.
- 55:23I'm sure he has a lot of people working for him saying this is something that matters.
- 55:27So that's why, although it is just with the one person, President of the United States, Donald Trump, to grant the pardon, as you said, I think it is kind of the pressure and the calls to action that this is something we care about.
- 55:45And we're not just going to sit silently and, oh, you did one thing for us.
- 55:51And you're talking about the minimus and other things, right?
- 55:53Like kind of there's been a lot of promises, a lot of, I think, proposed laws.
- 56:01But, you know, what have you done for Bitcoin lately?
- 56:05And, you know, to me, it's lacking, but.
- 56:10I would concur.
- 56:11I would concur.
- 56:12Focus is not where I would like it to be.
- 56:16And last, just to wrap up, there's going to be a ton of people out there say.
- 56:21privacy isn't worth it or privacy isn't necessary. If you have, if you're looking for privacy or
- 56:27doing something nefarious and I have no sympathy for developers who are writing tools, what,
- 56:33what would your message be to the, um, I guess the naysayers out there, the people who don't
- 56:41understand, um, what samurai wallet was or why privacy is important in the first place?
- 56:48first privacy is important to everyone whether you recognize it or not it's privacy is you know
- 56:55allowing you as a person you get to decide it's not hiding things but you just get to decide what
- 57:01information you share it's you know back to the classic examples why we have blinds on our windows
- 57:06and locks on our doors if you come over my house i might invite you into my living room but i might
- 57:12not have you upstairs into the bedrooms and you're definitely not looking through my underwear drawer
- 57:16that's privacy. I don't have anything to hide in there, but you know, I'd rather not have people
- 57:22that I don't know that well in those private spaces. So this is, you know, our finances,
- 57:27as we said at the beginning of this, are indicative of our speech, who you transact with,
- 57:35who you donate money to, what organizations you support, what causes, you know, it's just all of
- 57:41this is indicative to speech and to freedom. If you don't have financial privacy, you can't have
- 57:47financial freedom. And the way it is today, you need finances. There's very few people who can
- 57:55go live off grid and be completely private that way. We have to interact and have a median of
- 58:03exchange with people. And that's what hopefully Bitcoin will be going forward. And you need
- 58:10privacy for that. So that's the first thing. And why you should care. Maybe you don't,
- 58:15you know, at this point, right, we're feeling kind of good in the Western world. But as we saw with
- 58:22COVID and with the trucker convoy in Canada, that can switch where they will cut off your right
- 58:31to interact, to transact. And when you need privacy, you want tools to be there.
- 58:39You might not think you need it now, but there may be a point in time where you need it.
- 58:43And if they've thrown all the privacy developers in prison, it's a lot easier to take away the rest of your rights, just like with guns, right?
- 58:53It's the same kind of the same arguments they used in these cases against us of, well, there's this small percentage of bad actors using this tool.
- 59:02Same thing they used to try to take away Second Amendment rights.
- 59:05And in the countries that we've seen where they do have taken away their rights to bear arms, other freedoms follow shortly after.
- 59:14So, you know, it's this really slippery slope.
- 59:17It's kind of, you know, I guess I wish there was another term, but it's something that we need to stay on top of and not let it continue to be eroded as it has been.
- 59:27Yeah, that's what I worry about the complacency.
- 59:28I mean, going back to the Patriot Act, we're 23, 24 years into it now, and that's what I worry about, the frogs boiling water.
- 59:35If we don't stand up for this, I think Bitcoiners and obviously your husband and Bill being the shining examples of this, of recognizing the slippery slope and this frog boiling water effect that we're all being subjected to with the KYC and email compliance and the financial surveillance that has been erected around us over the 21st century.
- 1:00:01if we do not push the tide in the other direction and use the tools that give us the ability to do
- 1:00:10that which bitcoin i believe is the strongest tool to do that you don't have to ask permission you can
- 1:00:14build um build on the protocol and the protocols being built on top of it without needing to to go
- 1:00:23to the government and get a license or um ask permission to open a bank account you can simply
- 1:00:30download software and access this network. And it is an incredible tool to push back against the
- 1:00:38encroaching surveillance state that is only getting stronger as time goes on. And if we don't
- 1:00:45act intentionally and with a sense of urgency, we should wake up in the not too long future and find
- 1:00:54that we've lost all of it and getting it back at that point will be a much a much harder task
- 1:01:04than it is today and so the I think whether or not you're recognizing it or you're just simply
- 1:01:13somebody goes about their day you go to your nine to five job you work at your desk you come home
- 1:01:19you do homework with the kids maybe you open a beer you watch a basketball game and you think
- 1:01:24I don't need any of this, I'm fine. I'm not operating outside the lines of what the government
- 1:01:32deems is appropriate. Like you said, that can switch on a dime. And if the Panopticon is
- 1:01:41sufficiently robust and resilient, you can wake up one day and say, hey, you know what,
- 1:01:48we're going to need you to stay in your house for a while and you can't go to your job anymore.
- 1:01:53and oh, by the way, if you do want to go outside, you need to get this injection.
- 1:01:58I mean, it's already happened.
- 1:01:59I think a lot of people woke up during that.
- 1:02:01But again, going back to how the state or these forces,
- 1:02:06who knows if it's the state itself or the conglomerate of supranational powers
- 1:02:13that really have control, but what doesn't really matter at the end of the day.
- 1:02:18They are slowly but surely taking ground, establishing precedent, lulling people into a false sense of security, and then waiting a couple years and then taking some more ground, establishing more precedent.
- 1:02:36You may not feel that it's worthwhile to speak out or to act in a way that pushes back against this, but I would just caution that you may want to start thinking about it.
- 1:02:45So when the kind of reporting laws, so when third-party reporting laws, when banks had to start reporting on suspicious activity, it was $10,000.
- 1:02:58And the reason they said that was because this was such a high number, it would stick out.
- 1:03:06Well, when they wrote that law, in today's money, that's nearly $70,000.
- 1:03:11dollars. So just by the devaluing of the currency and not ever readdressing that number,
- 1:03:19they, and it's so many laws that they do this, right. They start with, we're just going to tax
- 1:03:23the billionaires. And then it just happens that it just spreads and it gathers so many more people
- 1:03:29within their, their nets, if you will. And that's exactly what, what you're warning about there,
- 1:03:36that this complacency can lead to where everyone is affected.
- 1:03:43Yeah.
- 1:03:44I mean, that's a conversation for another day,
- 1:03:46but repealing the Bank Secrecy Act is something that should be another priority of Bitcoiners.
- 1:03:52But I don't think we have enough time to tackle that in depth.
- 1:03:57Let's get them out of prison first.
- 1:03:59Yeah.
- 1:03:59Let's do that and then take that ground and then start fighting back
- 1:04:04and that getting rid of the Patriot Act and the Bank Secrecy Act,
- 1:04:08I think should be your top priorities.
- 1:04:11Uphill battle.
- 1:04:12Sounds crazy.
- 1:04:13When we were doing it, like right when Samurai was in development
- 1:04:16and early Bitcoiners in general, I think it was so much about
- 1:04:20let's root around the state.
- 1:04:22We're going to kind of follow.
- 1:04:23They're putting out these laws.
- 1:04:24Okay, we're going to do something different.
- 1:04:26But in our case, I think it's a perfect example
- 1:04:28that the state's not going to leave you alone.
- 1:04:31If you're doing something that's actually affecting them,
- 1:04:33They're not going to just ignore you and let you, you know, continue on with your little Bitcoin.
- 1:04:39Like if you are actually affecting the state, they're going to and affecting their control.
- 1:04:45They are going to come after you.
- 1:04:48So just, you know, as a warning like this, this isn't this isn't over.
- 1:04:53No.
- 1:04:54And for the girl dads out there listening like, oh, I'm never going to do that.
- 1:04:57It could come down to like, hey, you want to send your kids to private school?
- 1:05:00You know, we could wake up 15 years from now.
- 1:05:02They got private schools banned.
- 1:05:04You have to send them to our public indoctrination camps.
- 1:05:07There's countries that are trying to shut off homeschooling.
- 1:05:11So, yeah, I mean, that's very real.
- 1:05:13Yeah.
- 1:05:14Lauren, you're incredibly strong, incredibly brave.
- 1:05:19I know it's been difficult for you to be forced to be out here and doing this.
- 1:05:25I know for sure that you would rather be doing anything but this.
- 1:05:30but I highly commend you for doing it.
- 1:05:34And I think it's good to know that you're strong women
- 1:05:39and strong wives out there that love their husbands
- 1:05:43and the ideals that they fought for enough to get out there
- 1:05:48because I know many, many others would crumble under the pressure.
- 1:05:52And so I just want to, again, commend you
- 1:05:54because I think you're incredibly strong
- 1:05:56and it's incredibly important what you're doing.
- 1:05:59Thank you.
- 1:05:59You know, Keone actually said before he went in that even though knowing that if there wasn't someone speaking that he would, all the momentum he had gained in that last little bit where he could speak for himself would be lost.
- 1:06:12But he said, like, I didn't have to do this.
- 1:06:14I didn't have to come and kind of put myself out there because it is a vulnerable position to be in to speak about things that are personal, that I care about, that affect us in a very real way.
- 1:06:29And, um, but I couldn't not, I knew that if the positions were reversed and there's so many times
- 1:06:35that I've told him, I wish, I wish they were, because I think, you know, he would have just
- 1:06:40been so much better at this than I am. Um, but I know he wouldn't, I wouldn't have stopped.
- 1:06:46He wouldn't have given, you know, given up anything to, to see me released if, if I was in
- 1:06:52unjustly. So, you know, I couldn't not, it's, it's,
- 1:06:57he's my best friend and my husband and, you know,
- 1:07:01it's partner and everything. So thank you.
- 1:07:07Breaks go to billandqueone.org, support the efforts,
- 1:07:12reach out to your representatives and make some noise, eat the noise up.
- 1:07:16That's the one thing we had a lot of momentum at the end of last year,
- 1:07:19leading up to the beginning of this year.
- 1:07:22And I think it fell off a bit,
- 1:07:24but we need to get back on the train
- 1:07:26and make sure that this injustice is wrong,
- 1:07:32is righted, if you will.
- 1:07:33And we'll keep pushing on our end here.
- 1:07:38If there's anything we can do, Lauren,
- 1:07:40please let us know.
- 1:07:41And I'm optimistic.
- 1:07:44He's going to get out.
- 1:07:45Bill's going to get out.
- 1:07:46Then we're going to reset
- 1:07:48and then begin taking the ground that we need to take to make sure that this never happens again.
- 1:07:54Thank you.
- 1:07:55Marty, for some political office?
- 1:07:58Is that what you're saying?
- 1:07:59No, no, no.
- 1:08:03Maybe.
- 1:08:04Probably not.
- 1:08:06Too much social media baggage that they'll pull up in Point African office.
- 1:08:13High five.
- 1:08:15We'll end it there.
- 1:08:17Sorry, sorry.
- 1:08:18Okay.
- 1:08:18Thank you. Thank you so much for having me on.
- 1:08:21Thank you. Peace and love, Freaks.
- 1:08:23Thank you for listening to this episode of TFTC.
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- 1:09:14Okay.
- 1:09:18Thank you.