Ripple CTO served at the NSA! The theory of Satoshi Nakamoto and the CIA has sparked controversy.

The theory that Bitcoin's father, Satoshi Nakamoto, may have worked for or been kidnapped by the Central Intelligence Agency (CIA) has resurfaced. At the same time, Ripple's Chief Technology Officer David Schwartz has been exposed for having worked at the National Security Agency (NSA), a U.S. Department of Defense intelligence agency. Meanwhile, an early Bitcoin Wallet transferred 150 BTC this week after being dormant for over 14 years.

Ripple CTO's NSA Background and Satoshi Nakamoto Theory

Ripple's Chief Technology Officer David Schwartz was reminded that he had worked for the National Security Agency (NSA) of the U.S. Department of Defense. Previously, Schwartz's past had sparked a new wave of attention, and he clarified that during his time at the NSA, he never had access to any high-level information. According to him, most of his work was to ensure that software complied with the agency's requirements, and he wasn't even qualified to read those requirements in full.

In his words, one of the only requirements he saw was to ensure that the system could shut down the processing of confidential data when it lost control—this instruction sounded contradictory even to him. Schwartz also shared an anecdote about how he saw his work unexpectedly appear on the Discovery Channel, only to learn that one of his projects was actually in use. He later explained that the same code had been used for NATO before it was adapted by the National Security Agency, but the final use was “rather boring.”

Recently, when asked about the confidentiality obligations, Schwartz admitted that he did not know when the National Security Agency's confidentiality agreement would expire, nor did he know if it had expired, joking that he did not know any secrets at all. This frank attitude has earned respect in the cryptography and blockchain community, as many technical personnel with government backgrounds would choose to completely avoid such questions.

Three years ago, Schwartz, as a former contractor for the U.S. National Security Agency (NSA) or the Central Intelligence Agency (CIA), refuted the theory that Satoshi Nakamoto worked for the NSA or CIA when creating Bitcoin. At that time, the Ripple Chief Technology Officer firmly believed that the idea of the government implanting Bitcoin was at least feasible and suggested that it was reasonable for the U.S. to deploy such a system ahead of hostile forces.

This position is extremely nuanced. Schwartz did not completely deny the possibility that Satoshi Nakamoto could be related to intelligence agencies, but rather stated that he “refuted” this theory while also admitting that it is “at least plausible.” This kind of phrasing maintains a distance from conspiracy theories while not entirely dismissing their possibility. This cautious attitude may stem from his own experiences working at the NSA, which gave him insight into the workings and culture of secrecy within intelligence agencies.

Schwartz's NSA background adds a layer of mystery to his work at Ripple. Some critics have questioned whether Ripple's close collaboration with the banking system, its centralized features, and the background of its founding team mean that it is a government-friendly or even government-supported project. While these doubts lack direct evidence, Schwartz's NSA background undoubtedly provides material for such speculation.

Satoshi Nakamoto Era Wallet Transfers 150 BTC 14 Years Later Shocking the Market

(Source: Bitcoin Explorer)

A Bitcoin wallet that can be traced back to the early days of Crypto Assets has finally regained its vitality after more than 14 years of silence. It is believed that the address mined approximately 4,000 BTC between April and June 2009 and transferred 150 BTC this week, marking its first transfer since June 2011. The value of these Bitcoins at the time of their last activity was only $67,724, and now they are worth about $16 million. On-chain data shows that the wallet originally consolidated its mined BTC into one address in 2011 and has not moved since.

Transfers from wallets dating back to the Satoshi Nakamoto era are extremely rare. Data from Glassnode shows that only a few wallets from before 2011 transfer funds each year. The Bitcoin from this period was mined while the creator of Bitcoin, Satoshi Nakamoto, was still active in online discussions, making such activities a magnet for speculation. The months from April to June 2009 were the initial months of Bitcoin's birth, during which the mining difficulty was very low, allowing anyone with a regular computer to easily mine Bitcoin.

Historically, the awakening of old wallets tends to trigger short-term market fluctuations. Traders often interpret these movements as early holders preparing to sell, raising concerns about a large influx of funds into exchanges. However, in most cases in the past, these coins were not sold but merely transferred to new addresses for security, inheritance, or consolidation purposes. Bitcoin holders before 2011 who still hold their assets today are typically steadfast believers rather than short-term speculators, and they are more likely engaged in wallet management rather than preparing to sell.

Three Possibilities for Wallet Transfers in 2009:

Secure Migration: Transfer from an old Wallet to a more secure multi-signature or hardware Wallet.

Estate Planning: The holder is elderly and is transferring assets to heirs or a trust.

Test Function: Test small transactions to confirm the process is normal before making large transfers.

Currently, the trading price of Bitcoin is around $110,000. Earlier this month, Bitcoin experienced a significant drop from its recent historical high of $126,000 and is currently in a consolidation phase. The market is recovering from the largest liquidation event in crypto history, with leveraged positions losing $19 billion. Market sentiment remains fragile. Any signals suggesting potential selling pressure—especially from long-term holders sitting on their coins—could exacerbate the cautious sentiment in the market.

Despite this, the transfer of 150 BTC accounts for only a negligible share of Bitcoin's daily trading volume (over $20 billion), so the impact on the market is primarily psychological. The Crypto Assets Fear and Greed Index shows that market sentiment remains cautious, and any unusual activity in this environment will be magnified.

The Blurred Lines Between Crypto Punks and Intelligence Agencies

The connection between Ripple's CTO's NSA background and the CIA theory of Satoshi Nakamoto reveals an interesting phenomenon in the field of cryptography: the line between government intelligence agencies and the cypherpunk movement is much more blurred than the outside world imagines. Many key figures in the cypherpunk movement have government or military backgrounds; they learned advanced cryptographic techniques in government agencies and then applied this knowledge to create tools that protect personal privacy and freedom.

This background does not necessarily imply a conspiracy or manipulation. A more likely scenario is that these tech elites recognized the dangers of centralized power during their time in government, and thus committed themselves to creating decentralized systems after leaving. Schwartz's experience may be just such a trajectory: studying cryptography and distributed systems at the NSA, and then applying that knowledge to create Ripple.

Is Satoshi Nakamoto also on a similar trajectory? This question may never have a definite answer. But as the Bitcoin community emphasizes, regardless of Satoshi Nakamoto's background, the open-source code and decentralized architecture of Bitcoin have ensured that no single entity can control it. This may be the most important fact.

The activities of wallets from the Satoshi Nakamoto era coincided with the disclosure of the Ripple CTO's NSA background, providing new discussion material for the crypto community. Although there may not be a direct connection between the two, they serve as a reminder that the early history of the world of crypto assets is still filled with mysteries, and the unraveling of these mysteries could change our understanding of the origins of the entire industry.