I just thought of an evil idea…it’s kind of like swatting someone, but much much worse…it involves taxes.

Suppose you know with certainty two things simultaneously: the identity of an American and a Bitcoin address they control.

Now let’s get the government to put them in prison.

How? Send them bitcoin and supply info on tax evasion to IRS (and claim your bounty…eventually, as below).

But the trick is this: you send bitcoin to their address with a timelock in excess of however long it takes to get through a tax evasion lawsuit.

See what I did there? Someone can send bitcoin that counts as a gain for you and thus tax is due (in America, tax is due 4x per year and we file annually).

But if they send you so much Bitcoin that you can’t afford to pay the tax…because you can’t sell the bitcoin…then what?