On The Record – Arrested for Exchanging Bitcoin (w/ Morgan Rockcoons)



ToneVays Website: Bitcoin: 3Hk9cR6p8XAAbmD2GkvSdcbznhqXvLDX4o Litecoin: LPUU9aMnzpjvhr5yEfW7hz1JjbgQ1zYDvw Topics:

35 Comments

  1. youtube karl lentz, learn the common law and get out of this shit, where is the signature of the judge? where is his bonding number so you can hold him responsible for any harm that may come to you ?

  2. It doesn't matter what "laws" they create, if they can't prove the law applies.

    It is always the state's (any state, country, government) CLAIM that their constitution and laws and codes (including IRS and property tax claims) apply to someone simply based on their physical location.

    Example: "If you're physically in Florida/Arizona/Texas/usa these laws apply to you". It has nothing to do with residency or citizenship. "If you're physically here, these laws apply to you " — This is the basis of their "jurisdiction"

    I'm sure you would agree, the one who brings the claim must have evidence to support the claim. This is why you are innocent until proven guilty.

    However, when asked for the evidence to support that claim, they have NONE. Stating "But it's the law" is simply repeating the claim (circular logic) not providing evidence to support the claim. Saying, "There's case law" (rulings from higher courts) also doesn't provide proof to support the claim because "case law" is the OPINION of a generally dead lawyer (judge), and opinions aren't evidence. And if they should say, "This is how it's always been" — Well that’s just asserting the claim, not proving it.

    Please follow Marc Stevens and learn the Socratic method, which has success on four continents

    Everything from traffic infractions, IRS tax claims, to criminal charges including a client that had four felony charges levied against him, were all dismissed because the prosecutor could not prove jurisdiction.

  3. Sad to hear the State is persecuting this guy, but doing security work/crypto training for the largest human rights abuser on Earth seems contradictory to the anarchist foundations in crypto. Now the military has a new tool to launder their illegal drug and weapons deals(as discovered in the 80's), but perhaps the blockchain could be used to expose their network when they slip up. Seems like the dev has got mad skills and has contributed lots, so there's no doubt he's committed to building the movement. I guess everyone makes their own decisions. Perhaps a whale can kick down some change for the lawyer.

  4. He said that he tried to make a deal with them and then right after that he said he didn’t even ask them. Right after that when he said he tried to make a deal he thinks they want half he’s not too sure what deal he tried to make with them none of it made sense you were definitely asking the right questions I don’t buy the story it’s not complete. The fact that someone to whole livelihood revolves around crypto currency and they have no physical assets and they have no the quiddity on the crypto’s down now and they don’t have a way to get the coins that are sitting on an exchange doesn’t make sense to me. That would be every single rookie mistake you could possibly make sorry just not buying this. I would love to hear the whole story that’s for sure

  5. Bitcoin is just the bystandard here. Sounds like the feds were laundering to me. The dirty feds, setting up this dude to make their agenda. What a disgrace if a country we live in here. Let freedom ring!

  6. There is a ton of inaccurate information being thrown around here.

    If you are reading this Mr. Rockcoons, I want you to take away one thing from reading this: STOP talking about your case publicly. Retain an attorney. Get off Reddit, get off social media. I know you're anxious as fuck right now. I know this because I have been in your shoes. You are a criminal defendant now. Smart criminal defendants don't talk to the police…and they don't speak publicly about their case. In fact, they don't talk to ANYONE about their case other than their defense attorney. Be smart.

    Now, onto the specifics.

    A lot of people in this community have parrot syndrome. That is, they hear someone say something, and they just repeat it as fact. When it comes to the legality of something, it can be a dangerous thing to listen to the parrots.

    For example, there is no law that says you can trade Bitcoin as long as it is under $10,000. This is false. This $10,000 threshold being discussed is a misinterpretation of the law by Reddit lawyers. The $10,000 rule applies to banks and MSBs (Money Services Businesses) that handle more than $10,000 in cash from one customer, per business day. If you are a bank or money transmitter and handle more than this much cash per day from one customer, you are required to fill our an IRS CTR (Cash Transaction Record) and retain it for a period of 5 years.

    If you are merely a Bitcoiner that has $10,000 worth of Bitcoin to sell and are not selling Bitcoin "as a business", there is no requirement to even register as a MSB or fill out and retain a CTR.

    So the question becomes, is what you are doing by trading Bitcoin constitute money transmission under both State and Federal laws? (If you violate a state money transmission law, you are in also in violation of federal law. It is a federal offense to violate a state money transmission law.)

    Let's take a look at Mr. Rockcoons now PUBLIC admissions.

    1.) He has now publicly (and I would imagine privately with the DHS interview he mentioned) admitted to operating a Money Services Business. Not only has he admitted to this offense, there is proof that he operated an unregistered MSB according to his voluminous LocalBitcoins history.

    If you have 100s or 1000s of LBC sales, are accepting cash in the mail as payment for Bitcoin and have publicly (and while under Law Enforcement interview) admitted to running a money transmission business…well then, you have a major problem if you're not registered with FinCEN as a money transmitter. (Plus licensed in the State of California is their state laws require licensure. Remember, if you violate a state money transmission law, you can be charged criminally on the federal level as well.)

    2.) The government is claiming that Mr. Rockcoons knew that the USD he received in the mail were proceeds from selling hash oil. This is where the money laundering statute comes into play. The government has a problem here. That problem is referred to as "mens rea". See https://en.wikipedia.org/wiki/Mens_rea

    Mr Rockcoons agreed to this Bitcoin for cash trade. According to his statements, he communicated with the "buyer" solely by SMS and other electronic means. The government has a problem here if those texts reveal no knowledge on Mr. Rockcoons part regarding any hash oil proceeds. (Texts are saved by the wireless provider and can be subpoenaed)

    But what do I think, honestly? I think Mr. Rockcoons is leaving out a key component of this case. I believe Mr. Rockcoons made some sort of acknowledgment, whether directly or indirectly, that he was aware the proceeds the "buyer" was giving him were the result of selling hash oil. It could have been something as innocuous as follows to satisfy the mens rea:

    Undercover: I am going to buy some equipment for my thc vape pen business with these coins.

    Mr. Rockcoons: Cool…I love to vape.

    Undercover: Me too. I love weed.

    Mr. Rockcoons: <sends BTC>

    THAT IS IT. THAT IS ALL IT TAKES TO SATISFY THE MENS REA TO CHARGE YOU WITH MONEY LAUNDERING. Welcome to America.

    Mr. Rockcoons, if you're reading this…and I hope you are…you gotta be smart here. You need to stop making public statements. You need to stop agreeing to speak to the police. (Although it's a bit late for both of these things) You need to get a lawyer that understands money transmission and cases involving technology.

    I'm not sure you're ready for the truth, because neither was I when I was in your shoes. But here's the truth…and it sucks:

    You're going to spend about 6 months – 18 months in a federal prison. Go download the Federal Sentencing Guidelines manual and look up the guidelines under the section for financial crimes. Then look at the table. (Yes, judges can depart from the guidelines…but they rarely do.) 90%+ of federal cases wind up with the accused going to jail. This is the federal system. Not many people just get probation in the federal system. As the expression goes, "The Feds could indict a ham sandwich."

    Hash oil. Motherfucking hash oil. Not heroin, not bomb making equipment…the oil derived from a plant that nearly every fucking politician in the US has personally smoked…and they want to throw you in jail for it because some shitbag law enforcement officer threw it into a conversation to entrap you to make his case. If I were you I'd be furious too…and justifiably so. But then I'd have to ask myself, why me? Why was I the one on their radar? Mr Rockcoons, ask yourself this question: Have you been involved in anything extracurricular that could have put you on DHS's radar?

    FOR GOD SAKES DON'T ANSWER THAT QUESTION PUBLICLY!

    Again, GET A LAWYER AND STOP TALKING.

    Update:

    Mr. Rockcoons: DO NOT PAY FOR A PRIVATE LAWYER. Get a court-appointed attorney. In the federal system, the attorneys the court appoints are actually very decent. Paid lawyers that do federal criminal work are fucking vultures. They talk a big game and charge HUGE amounts of money to their clients despite the fact that they know 90% of the time they are going to just have their client plead guilty.

    When the judge asks you if you can afford an attorney, you tell the truth. You cannot afford an attorney because the prosecution refuses to release your mobile phone where your digital assets are stored. The court will have you sign a document affirming that you are indigent, and you will be appointed an attorney.

    Tone Vays: You are seriously a dick for letting this kid ramble on your interview and incriminate the FUCK out of himself. All so you can get views? Amazing.

    COPIED FROM REDDIT: BTC ON TRIAL TODAY IN SAN DIEGO USER: Definitely_Not_DHS

  7. This guy's totally nuts. They were fighting in Vietnam for heroin dude…and because war makes banksters money.

    Weed really messes with your mind. I don't think we're going to war with north Korean over..bitcoin.

    He's definitely manic, and naive. Most Normies won't understand what the hell this is. It does seem like they set up the most neurotic oddball they could find. Bravo NSA. Wonder what the game is.

  8. "Interstate commerce" can be claimed for the most ludicrous of reasons.

    You used the internet to facilitate the trade. Internet routing could very easily have routed outside of California…and then back into California.

    Dude, STOP TALKING AND GET A LAWYER.

    TONY WHY ARE YOU LETTING HIM BURY HIMSELF???

  9. You walked in…voluntarily…and talked to them for 3 hours.
    You walked in…voluntarily…and talked to them for 3 hours.
    You walked in…voluntarily…and talked to them for 3 hours.
    You walked in…voluntarily…and talked to them for 3 hours.

    Why in the FUCK would you do this?

  10. Feds have way too much time on their hands, feds have way too much money. We need to de-fund all things "Federal" and put them back in the box of 10 square miles in Washington DC where they can happily violate each other's rights all day long forever.

  11. This is a very interesting story, and this guy needs his own show. Screw Roger Ver, this guy knows his shit, and lives and breathes this stuff.. He has MS so I know what that's all about and that sucks.

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