{"id":21947,"date":"2025-04-14T10:02:30","date_gmt":"2025-04-14T10:02:30","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=21947"},"modified":"2025-04-14T10:02:30","modified_gmt":"2025-04-14T10:02:30","slug":"american-man-faces-prison-time-for-not-disclosing-13m-of-crypto-punks-nft-sales","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=21947","title":{"rendered":"American Man Faces Prison Time For Not Disclosing $13m Of Crypto Punks NFT Sales"},"content":{"rendered":"<div>\n<p>A US man from Pennsylvania is facing up to six years in prison after pleading guilty to filing false tax returns to the Inland Revenue Service (IRS) that hid millions of dollars in income from sales of Crypto Punks NFTs.<\/p>\n<p>In federal court on April 9, Waylon Wilcox, 45, admitted to underreporting over $13 million in income from 97 Crypto Punks transactions between 2021 and 2022.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\"><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/15.0.3\/72x72\/1f6a8.png\" alt=\"\ud83d\udea8\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/15.0.3\/72x72\/1f1fa-1f1f8.png\" alt=\"\ud83c\uddfa\ud83c\uddf8\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\">GUY MADE $13M FLIPPING PIXELATED NFTS\u2014TOLD THE IRS \u201cLOL, NEVER HEARD OF CRYPTO\u201d<\/p>\n<p>Waylon Wilcox, 45, of Pennsylvania, pleaded guilty to hiding over $13 million in profits from flipping 97 CryptoPunks NFTs\u2014reporting nothing to the IRS in 2021 and 2022.<\/p>\n<p>But when tax time came?\u2026 <a href=\"https:\/\/t.co\/RJACf8z6IU\" target=\"_blank\" rel=\"nofollow\">pic.twitter.com\/RJACf8z6IU<\/a><\/p>\n<p>\u2014 Mario Nawfal (@MarioNawfal) <a href=\"https:\/\/twitter.com\/MarioNawfal\/status\/1911172474009698542?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"nofollow\">April 12, 2025<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<h2>Wilcox Was A Punks Whale Who Sold 62 NFTs At Their Peak<\/h2>\n<p>Wilcox reduced his tax bill by underreporting more than $13m in Crypto Punks sales by over $3.2 million, according to the US Attorney\u2019s Office for the Middle District of Pennsylvania.<\/p>\n<p>According to <a class=\"general-link\" href=\"https:\/\/www.justice.gov\/usao-mdpa\/pr\/york-county-man-pleads-guilty-filing-false-income-tax-returns-omitted-more-13-million\" target=\"_blank\" rel=\"noopener nofollow\">c<\/a><a class=\"general-link\" href=\"https:\/\/www.justice.gov\/usao-mdpa\/pr\/york-county-man-pleads-guilty-filing-false-income-tax-returns-omitted-more-13-million\" target=\"_blank\" rel=\"noopener nofollow\">ourt filings<\/a>, Wilcox sold 62 Punks in 2021 for $7.4 million. The Pennsylvania man then sold 35 more in 2022 for around $4.9 million.<\/p>\n<p>Prosecutors say the misrepresentations allowed him to dodge $2.18 million in taxes in 2021 and $1.09 million in 2022. However, Wilcox allegedly checked the\u2019 no\u2019 box when asked on his 2021 and 2022 tax returns whether he had disposed of any digital assets.<\/p>\n<p>Per the press release, prosecutors state the misrepresentations allowed him to dodge $2.18 million in taxes in 2021 and $1.09 million in 2022.<\/p>\n<p><strong>DISCOVER: <a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/cryptocurrency\/best-meme-coin-icos\/\" target=\"_blank\" rel=\"nofollow noopener\">Best Meme Coin ICOs to Invest in April 2025\u00a0<\/a><\/strong><\/p>\n<p>\u201cIRS Criminal Investigation is committed to unraveling complex financial schemes involving virtual currencies and non-fungible token transactions designed to conceal taxable income,\u201d Yury Kruty, Philadelphia Field Office Special Agent in Charge, said in the press release.<\/p>\n<p>They added, \u201cIn today\u2019s economic environment, it\u2019s more important than ever that the American people feel confident that everyone is playing by the rules and paying the taxes they owe.\u201d<\/p>\n<p>The Pennsylvania Attorney\u2019s Office warned that when an individual sells an <a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/cryptocurrency\/nft-gambling-sites\/\" target=\"_blank\" rel=\"noopener\">NFT<\/a>, they must report sales proceeds and any gains or losses from the asset\u2019s sale on their tax return.<\/p>\n<p>Wilcox faces a penalty of up to six years in prison for the charges against him. He will also likely face a term of supervised release and a fine under federal law.<\/p>\n<h2>Crypto Punks Down Over 85% From The Top As Wilcox Sold The Top<\/h2>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone wp-image-225239 size-full\" src=\"https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/04\/Screenshot-2025-04-14-at-08.27.06.png\" alt=\"Crypto Punks are down over 80% since Waylon Wilcox sold 97 of them across 2021 and 2022, with NFT daily trading volume now less than $5m.\" width=\"2321\" height=\"1549\" srcset=\"https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/04\/Screenshot-2025-04-14-at-08.27.06.png 2048w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/04\/Screenshot-2025-04-14-at-08.27.06-300x200.png 300w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/04\/Screenshot-2025-04-14-at-08.27.06-1024x683.png 1024w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/04\/Screenshot-2025-04-14-at-08.27.06-768x513.png 768w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/04\/Screenshot-2025-04-14-at-08.27.06-1536x1025.png 1536w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/04\/Screenshot-2025-04-14-at-08.27.06-50x33.png 50w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/04\/Screenshot-2025-04-14-at-08.27.06-350x234.png 350w\" sizes=\"(max-width: 2321px) 100vw, 2321px\"><\/p>\n<p>(<a class=\"general-link\" href=\"https:\/\/www.coingecko.com\/en\/nft\" target=\"_blank\" rel=\"noopener nofollow\">COINGECKO<\/a>)<\/p>\n<p>Although he faces prison time and a hefty fine, Waylon Wilcox sold his Crypto Punks during their peak across 2021 and 2022.<\/p>\n<p>Today they have a floor price of 42.49 ETH (around $69,000), at their height in August 2021, the floor price was 125 ETH (worth almost $479,000 at the time), per <a class=\"general-link\" href=\"https:\/\/www.coingecko.com\/en\/nft\" target=\"_blank\" rel=\"noopener nofollow\">CoinGecko<\/a>.<\/p>\n<p>In ETH terms, Punks are down 66% from the top. However, against USD, the collection is down 85.7% from that all-time high. Just last week, a CryptoPunks holder sold their super-rare alien Punk for $6 million, taking a $10 million (500 ETH) loss on the trade.<\/p>\n<p>CryptoPunks are an NFT collection of 10,000 algorithmically generated pixel characters. They hold prestige because they are one of the earliest collections to launch.<\/p>\n<p>Punks were among the most sought-after collections during the NFT craze in 2021 and 2022. During that time, trading volume for NFTs reached as high as $2.4 billion daily.<\/p>\n<p>However, the volume has dried up, barring a few spikes amid frenzied periods. Per CoinGecko, overall sales in the past 24 hours is just $4.9 million.<\/p>\n<p><strong>EXPLORE: <a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/cryptocurrency\/new-cryptocurrency\" target=\"_blank\" rel=\"nofollow noopener\">Best New Cryptocurrencies to Invest in 2025\u00a0<\/a><\/strong><\/p>\n<p><a href=\"https:\/\/discord.gg\/B7Uk6agkqj\" target=\"_blank\" rel=\"nofollow noopener nofollow nofollow nofollow nofollow nofollow nofollow nofollow nofollow nofollow nofollow nofollow\"><b>Join The 99Bitcoins News Discord Here For The Latest Market Updates<\/b><\/a><\/p>\n<p class=\"p1\">\n<div class=\"nnbtc-key-takeaways\">\n<h3 class=\"nnbtc-key-takeaways__title\">US man underreported over $13m CryptoPunks NFT sales to the IRS<\/h3>\n<p class=\"p1\">\n<ul class=\"nnbtc-key-takeaways__list\">\n<p class=\"p1\">\n<li class=\"nnbtc-key-takeaways__list-item\">\n         Waylon Wilcox faces up to 6 years in jail for ticking \u2018no\u2019 when asked if he had disposed of any digital assets     <\/li>\n<p class=\"p1\">\n<li class=\"nnbtc-key-takeaways__list-item\">\n         The individual sold 97 Punks between 2021 and 2022, dodging over $3.2m in tax by no disclosing     <\/li>\n<p class=\"p1\">\n<li class=\"nnbtc-key-takeaways__list-item\">\n         Crypto Punks are down over 85% against USD since their all-time high in August 2021     <\/li>\n<p class=\"p1\">\n<\/ul>\n<p class=\"p1\">\n<\/div>\n<p>The post <a href=\"https:\/\/99bitcoins.com\/news\/american-man-faces-prison-time-for-not-disclosing-13m-of-crypto-punks-nft-sales\/\">American Man Faces Prison Time For Not Disclosing $13m Of Crypto Punks NFT Sales<\/a> appeared first on <a href=\"https:\/\/99bitcoins.com\/\">99Bitcoins<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>A US man from Pennsylvania is facing up to six years in prison after pleading guilty to filing false tax returns to the Inland Revenue Service (IRS) that hid millions of dollars in income from sales of Crypto Punks NFTs. In federal court on April 9, Waylon Wilcox, 45, admitted to underreporting over $13 million [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-21947","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/21947","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=21947"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/21947\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=21947"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=21947"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=21947"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}