The recently made public documents relating to Jeffrey Epstein continue to offer a disturbing glimpse into the vast network of information that the financier managed. Amongst the thousands of pages, a hitherto unpublished detail has emerged: Epstein received direct updates on one of the biggest public relations crises in the history of the crypto industry, involving the US giant Coinbase and its controversial acquisition of blockchain analytics firm Neutrino.
Richard Kahn's email and the ‘Neutrino Case’
On 12 March 2019, Richard Kahn, a New York-based financial advisor and recurring figure in the files as a source of analysis for Epstein, sent an email with an explicit subject line regarding a "massive controversy" involving Coinbase. The message quoted statements attributed to the CEO of Kraken and referred to Ripple (XRP), at a time of extreme tension for the market.
The chronology of the message coincides exactly with the global backlash suffered by Coinbase after its acquisition of Neutrino in late February 2019. The controversy stemmed from the past of Neutrino's founders, who had previously worked for Hacking Team, an Italian surveillance software company accused of providing technological tools to authoritarian regimes to violate human rights.
The Community Revolt: #DeleteCoinbase
The acquisition unleashed an unprecedented wave of outrage. Privacy advocates and users accused Coinbase of betraying the core values of decentralisation. In a short time, the #DeleteCoinbase movement was born, with thousands of users closing their accounts in protest.
So, I spent some time researching Coinbase's latest acquisition, Neutrino. What I found, just by reading existing reports, is incredibly obscure, and could/should become a huge scandal for Coinbase.
So, I spent some time looking into @coinbase's latest acquisition, Neutrino. What I found, just by reading existing reporting, is insanely dark, and could/deserves to become a massive scandal for Coinbase. Thread. /1https://t.co/z8MvAaPPKQ
- David Z. Morris (@davidzmorris) February 26, 2019
At that time, even prominent figures in the industry distanced themselves. Jesse Powell, CEO of Kraken at the time, publicly declared that Neutrino would never pass his company's internal ethical controls. Under pressure from the market, Coinbase was forced to backtrack, announcing that Neutrino employees linked to Hacking Team would leave the company.
The Connection with Ripple (XRP)
The file suggests that Epstein's focus was not only on surveillance, but also on listing dynamics. A few weeks before the Neutrino crisis, Coinbase had listed XRP, a move that had already attracted the attention of regulators and raised questions about the exchange's governance standards.
The email sent to Epstein reflected a generalised climate of suspicion, where the issues of blockchain oversight, the listing of new assets and regulatory pressure merged into a single scenario of instability for financial elites.
Epstein and the Power of Crypto Networks
Although there is no evidence linking Epstein to criminal activity directed through cryptocurrencies, the files demonstrate an analytical interest in the sector. Other documents reveal discussions with Peter Thiel on the identity of Bitcoin, investments in the infrastructure company Blockstream, and social contacts with the likes of Michael Saylor and Kevin Warsh.
These new details paint the profile of a man who carefully monitored the intersection of digital finance, regulation, and power networks, recognising the crypto sector as a new front for global influence.
These new details paint the profile of a man who carefully monitored the intersection of digital finance, regulation, and power networks, recognising the crypto sector as a new front for global influence.
