Dan Morehead, the founder of #PanteraCapital , is facing an investigation over violations of U.S. federal tax laws. This case arises against the backdrop of the U.S. tightening tax regulations on the crypto sector, especially for large investors.

The investigation conducted by the U.S. Senate Financial Committee (SFC) targets over $850 million in investment profits that Dan Morehead earned after moving to Puerto Rico in 2020.

#PuertoRico is known as a "tax haven" in the U.S. Most residents here do not have to pay federal income tax; they only need to stay on the island for at least 183 days/year to become legal residents.

According to Senator Ron Wyden, Morehead may have considered this profit tax-free, even though it is still income sourced from the U.S. and is subject to federal tax laws.

Although Morehead asserts that he has complied with tax laws, the investigation is still ongoing. This raises questions about whether wealthy investors can exploit tax incentives in Puerto Rico to evade taxes in the U.S.

U.S. Tightens Crypto Tax Regulation

The investigation comes as the U.S. is increasing tax scrutiny on the crypto sector.

  • In June 2024, the U.S. Internal Revenue Service (IRS) issued new regulations requiring crypto transactions to report taxes through a third party.

  • From 2025, centralized exchanges (CEX) and brokers will have to report details about buying, selling, and exchanging digital assets.

  • However, earlier this year, #IRS postponed this regulation until 2026 to give platforms time to adapt.

Some experts are concerned that this regulation could drive investors to shift to decentralized exchanges (DEX) to avoid scrutiny, complicating the government’s tax collection efforts.

The Blockchain Association filed a lawsuit against the IRS in December 2024, claiming that the new regulatory framework violates the U.S. Constitution, particularly by forcing DEX platforms to collect and report user transaction data, infringing on personal privacy.

Pantera Capital: An Amazingly Successful Crypto Fund

  • Pantera Capital is the first crypto investment fund in the U.S., founded by Dan Morehead, notable for profits exceeding 130,000% from initial investments.

  • Pantera Bitcoin Fund (launched in 2013) has achieved a profit of 1,300 times the initial purchase price of Bitcoin, which was only $74/BTC.

  • Pantera Capital is currently managing over $5 billion in assets, with 47% of its investments located outside of the U.S.

In particular, Pantera has also made significant investments in blockchain $TON in 2024, creating a strong influence in the crypto market.

General Assessment

The investigation into Dan Morehead and Pantera Capital reveals a shift in the U.S. approach to crypto taxation, especially as authorities tighten regulations. At the same time, the case highlights the issue of "tax evasion" through tax havens like Puerto Rico.

In the context of increasingly strict crypto regulation, investors should closely monitor new regulations to ensure compliance with the law and minimize legal risks.

Risk Warning

Crypto is a high-risk investment area and may not be suitable for everyone. Before making decisions, you should conduct thorough research and consider your personal financial situation.