Epstein Files Expose Blockstream, Adam Back Funding, and Austin Hill’s “Pretty Girls”
The U.S. Department of Justice recently released millions of pages from its Jeffrey Epstein investigation files, revealing previously undisclosed connections to the cryptocurrency industry. These documents, primarily emails and communications from 2014 and 2015, show Epstein's interactions with key figures in Bitcoin's early ecosystem. Among the notable details are meetings and a financial investment involving Blockstream, a company co-founded by prominent Bitcoin contributors.
Blockstream emerged in 2014 as a Bitcoin-focused firm developing sidechain technology and layer-two solutions such as Lightning Network. Its leadership included Adam Back, cited in Bitcoin's whitepaper, and Austin Hill, co-founder of Blockstream. The released files indicate Epstein met with Back and Hill in April 2014, with coordination for travel and accommodations handled through Epstein's team.
Email between associates, shows Adam Back and Austin Hill planning trip to meet at Epstein Island:
Details of the Investment and Communications
In July 2014, Jeffrey Epstein and Joichi Ito, then director of the MIT Media Lab, invested in Blockstream's seed round. Emails describe their allocation increasing from an initial amount to at least $500,000, prioritized amid high demand for the funding round. One message from Austin Hill to Ito and Epstein notes the adjustment created logistical challenges but reflected respect gained from prior discussions.
Austin Hill writes to Epstein in July 2014:
"We are down to the wire on closing this round. We are 10x oversubscribed on an $18m seed round and Reid at the last minute told us t allocation from $50k to $500k : this is causing no small amount of headaches but and I respect you both and have learned so much from you in our discussions we have everyone else a haircut to make room.
Where should we send the dots? The best CFO in the game Hammie Hill is running the deal for me and is Cc'd on this so he can lock down the paperwork with the suits."
The documents also reference proposed gatherings to discuss topics like physics, money, and the future of finance, involving figures such as Adam Back and other Bitcoin Core developers. Encrypted conversations appear in early 2015 between Epstein and Blockstream executives, highlighting caution in communications. Around the same period, Epstein and Ito supported Bitcoin Core development funding through the MIT Media Lab, stepping in as other support structures faced issues.
Blockstream proceeded with its technical milestones, releasing a sidechain whitepaper in October 2014 and a Liquid network prototype in 2015. Several Blockstream co-founders, including developers like Gregory Maxwell, Matt Corallo, Luke Dashjr, and Pieter Wuille, all contributed to Bitcoin Core and maintained control over it's development. During the 2016-2017 block size debates, these developers supported maintaining smaller blocks, a position that aligned with layer-two approaches and contributed to community divisions, including the creation of Bitcoin Cash.
Blockstream Co-founder Austin Hill and "Pretty Girls"
In another stunning revelation in the Epstein files release, it also shows how Blockstream co-founder Austin Hill met with Epstein at the Fairmont Pacific Rim hotel in Vancouver in March 2014.
In one email on March 19, Epstein is emailing Hill, asking him if he can make it over to the Fairmont hotel, saying he is with "two pretty girls." Hill replies, saying "Happy to make it to the Fairmont." The following day on March 20, Hill emails Epstein, saying:
"It's was really great to meet you. I enjoyed our conversation immensely. Would live the chance to spend an afternoon continuing the discussion and learning more about money from you ;) I know we share at least a few hobbies & interests already. [...] Ps - yes they were pretty :)"
The files further show Epstein's broader interest in Bitcoin, including sharing articles and expressing positive views on individuals like Back. Travel arrangements for potential in-person meetings at the island underscore the networking involved and personal visitations. These revelations add context to Epstein's engagements with Bitcoin and crypto leaders, many tied to his MIT connections that later drew scrutiny.
Today, Blockstream's Liquid Network remains active, facilitating asset transfers and expanding its role in Bitcoin infrastructure. Bitcoin's protocol has evolved with various changes and upgrades over the years, mostly shaped and geared toward layer two such as Lightning. The document release has prompted renewed discussions in the crypto community about early funding sources and their influence on Bitcoin's development path.
We created an Epstein Bitcoin Email archive to go through all the newly released Epstein emails relating to Bitcoin, cryptocurrency, and blockchain, to search through all the communications for important information relating to this topic. Try it out!