Zimpapers Logo

SYDNEY. – Australian entrepreneur Craig Steven Wright on Monday identified himself as the creator of bitcoin almost five months after he was outed in media reports as the man behind the virtual currency. Mr Wright said in a blog post and interviews with three media organisations – BBC, the Economist and GQ Magazine – that he developed the original bitcoin software under the pseudonym Satoshi Nakamoto, a claim that has been disputed by others.

Mr Wright provided technical evidence, including the original encryption keys that have been confirmed by prominent members of the bitcoin community, the BBC reported. “Our conclusion is that Mr Wright could well be Mr Nakamoto, but that important questions remain,” The Economist said on Monday.

“Indeed, it may never be possible to establish beyond reasonable doubt who really created bitcoin.” The BBC said prominent members of the bitcoin community had confirmed Mr Wright’s claim. Mr Wright was named as the creator of bitcoin by both Wired and Gizmodo in December, which he said caused unwanted attention on his work and family.

A white paper on the virtual currency was released under the name of Nakamoto in 2008 detailing the concept of peer-to-peer electronic cash before software was rolled out in early 2009. More than one other person has previously been identified as the original creator.

Reuters reports that Bitcoin experts say unmasking Nakamoto would be significant for the industry. Not only would the proven founder probably hold some sway over the future of bitcoin protocol, but Nakamoto may also hold enough bitcoin to influence its price.

Researchers believe Nakamoto may be holding up to 1-million bitcoins, which if sold today would fetch about $440m. “Some people will believe, some people won’t and to tell you the truth I don’t really care,” he said in a video clip. “I don’t want money, I don’t want fame, I don’t want adoration. I just want to be left alone.”

Before Monday, MrWright had stayed silent on the December reports, which cited e-mails, deleted blog posts and documents. The evidence Wright provided did not completely dispel all doubts about his claim to be Nakamoto, according to the Economist. The magazine said Mr Wright did not definitively show he had control over an original stash of bitcoin suspected to be owned by Nakamoto.

He also had a potential personal interest in influencing debate within the bitcoin community, and claiming he is Nakamoto would strengthen his argument, the magazine said. Jonathan Underwood, a technical adviser to bitcoin startup bitbank, said the proof Mr Wright posted on his blog was a signature from an old transaction and not evidence that the Australian actually controls Nakamoto’s private bitcoin keys.

“I didn’t believe Craig was Satoshi when it was news last December, and I still don’t believe it,” said Mr Underwood. Yuzo Kano, who runs a bitcoin exchange in Tokyo, is also sceptical of Mr Wright’s claims. “The key he posted on his blog is actually publicly available information,” said Mr Kano, who quit Goldman Sachs Group to open BitFlyer in 2014.

“This doesn’t prove at all that he holds the private keys.”

Bitcoin’s libertarian roots, with no central issuing authority and a public ledger to verify transactions, has become more mainstream with its adoption by merchants around the world. Its underlying technology has also drawn interest from banks including Goldman Sachs and Citigroup.

Advocates have promoted bitcoin as a global, decentralised currency for the internet age, and venture capital investments in companies affiliated with the technology topped $1bn last year. Yet the instrument has proven volatile, its role in money laundering and other illegal activity is a constant source of questions, and the price fluctuates with each regulatory clampdown or criminal investigation. – Bloomberg, Reuters.