Key Takeaways:
- Dashjr claims he is cut off from Blockstream’s top management by Adam Back.
- Dashjr demands Back step down following alleged Epstein connection.
- DoJ documents show Back was invited by Epstein to his private island.
Prominent Bitcoin developer Luke Dashjr has publicly called out Blockstream CEO Adam Back for his connections to the late Jeffrey Epstein, a financier of human trafficking and a sex offender. Dashjr has said this revelation, and the fact that Back backtracked on his promise to make Dashjr a co-founder, he should resign his position.
I was an initial contributor to Blockstream and Adam promised me I’d be listed as a co-founder and be treated the same as other co-founders. Adam broke that promise, betrayed my trust, and cut me out.
I was never involved in Blockstream's fundraising and had no knowledge or…
— Luke Dashjr (@LukeDashjr) February 3, 2026
The latest batch of released US Department of Justice (DoJ) documents has shown that the crypto industry’s connections with Epstein are far deeper than one could imagine.
Dashjr claims Adam Back broke his promise
Dashjr’s tweet says that he was promised a position as the co-founder of Blockstream in 2014, when the firm was founded. He also clarified that, unlike other early co-founders, he was more focused on coding blockchain products.
Dashjr claims that Back not only broke his promise of giving him a seat at the table but also cut him off from all interactions as a senior in Blockstream. According to him, he had little idea of who was even investing in the firm.
Defending his move not to call out Back earlier, Dashjr confessed that his decision not to pursue any legal action stemmed more from protecting Bitcoin during its early years.
His option to prioritize the development of Bitcoin has led him to criticize certain advancements, including the use of Ordinals, the native version of BTC-based NFTs.
PSA: “Inscriptions” are exploiting a vulnerability in #Bitcoin Core to spam the blockchain. Bitcoin Core has, since 2013, allowed users to set a limit on the size of extra data in transactions they relay or mine (`-datacarriersize`). By obfuscating their data as program code,…
— Luke Dashjr (@LukeDashjr) December 6, 2023
While he has contributed to Bitcoin Core, the software that miners run to maintain the network, he has also developed an alternative. Dashjr’s version, called Bitcoin Knots, filters out Ordinals and other developments that he sees are not in line with the vision of Satoshi Nakamoto.
Blockstream founders named in the latest Epstein files
The latest round of documents released by the DoJ shows more than just the political and financial elite connected with Epstein. Another Blockstream co-founder, Austin Hill, is also on the list.
The current batch of documents shows that convicted offender Jeffrey Epstein had not only invested in Blockstream in 2014 but also invited both Back and Hill to his private island.
Back has denied any direct Blockstream involvement with Epstein. The only connection he has admitted to is a small stake by venture capitalist Joi Ito. According to Back, Epstein was a minor partner in Ito’s crypto startups’ fund, which invested in different crypto and blockchain firms, including Blockstream.
In 2014, during Blockstream’s seed-round investor roadshow, the company was introduced to then MIT Media Lab director Joi Ito. Subsequently Blockstream met with Jeffrey Epstein, who was described at the time as a limited partner in Ito’s fund. That fund later invested a minority…
— Adam Back (@adam3us) February 1, 2026
The Epstein and Back relation comes at a time when Blockstream is expanding its global reach, including acquiring Elysium Lab and a European headquarters. Blockstream is not the only blockchain institution facing the Epstein controversy, as the offender is also found to be an early backer of crypto exchange Coinbase, investing around $3 million in 2014.
These incidents reflect how powerful individuals can influence large institutions, not even sparing the crypto world. If the management of these centralized institutions can be influenced through controversial and illegal support, these players may also influence the market narrative or even play with user funds.
The move toward decentralization becomes ever more important to avoid financial elites manipulating markets. An inflow towards decentralized exchanges (DEXs) can be an indicator of this, as traders may seek out platforms that are built on code and, therefore, not easily influenced by individuals.
Other things to look out for include private funding rounds where the investor’s profile is not visible, and the current connections CEOs have in their social circle.
