American tax officials

Chapter 298 Selling Oneself to the IRS

As David reviewed the documents, his gaze gradually sharpened from its initial indifference. He then stared intently at Zhao Changpeng and asked, "Mr. Zhao, are you sure the amount calculated in this tax document is correct?"

It wasn't that the amount was too small; quite the opposite, he felt it exceeded his expectations.

Binance's market capitalization is currently close to 4000 billion, and according to the data in this document, the amount of illegal transactions involved, as well as some taxes that need to be paid, adds up to as much as 150 billion.

He only managed to calculate 200 billion in taxes from the Illuminati.

It's worth noting that Bitcoin's market capitalization is more than double that of Binance, yet the tax amounts for the two are only a quarter different, which is quite normal.

Either Zhao Changpeng made a mistake in the statistics, or he voluntarily paid more than he should have.

However, businessmen are inherently profit-driven. Even when forced to pay less tax, they would still prefer to pay less. Why should they pay more?

Just as he was somewhat puzzled, Zhao Changpeng chuckled and said, "That's not wrong. When we were doing the statistics, we excluded many legal tax avoidance regulations. Also, Director David, you mentioned that voluntary declaration would get a 3 percentage point discount, but we didn't include that in our calculations. Instead, we calculated the total amount of tax payable."

"Oh? Why is that, Mr. Zhao?"

David finally understood why Binance had tallied over 150 billion, but at the same time he was even more puzzled, not understanding why the other party was acting as a money-giving angel.

"I believe that since we are part of America, and this money was earned on this land, it should be taken from the people and used for the people. We should contribute more to society by paying more!"

Looking at Zhao Changpeng's righteous and awe-inspiring appearance, David couldn't help but wonder, could this guy really be so enlightened?

But he quickly dismissed the idea.

If someone could become the richest Chinese person in just a few years and truly had such a sense of social responsibility, they would have shown it long ago. There would be no need for him to specifically name them and then come here to demonstrate it.

Then there's only one possibility: Zhao Changpeng might need his help!

Thinking of this, David said directly, "Mr. Zhao, it's rare that you have such a kind heart and are so cooperative with our IRS. If there's anything you need help with, we won't mind doing so within our authority."

Zhao Changpeng was overjoyed. He was still wondering how to bring it up, but unexpectedly, David took the initiative to speak first. He then said, "To be honest, Director David, Binance... does have something we'd like you to help us with."

David thought to himself, "Just as I expected," and then said calmly, "Tell me about it."

Zhao Changpeng and Lin Huaide exchanged a glance, then Zhao Changpeng said somewhat nervously, "To be honest, the Ministry of Justice is currently investigating us, and we are under a lot of pressure, so..."

"etc……"

Before the other party could finish speaking, David interrupted, "Mr. Zhao, the assistance I mentioned earlier was within the scope of my authority. Since it involves the Department of Justice's investigation of you, then I have no right to interfere. I'm sorry!"

He may collect taxes, but he certainly has no interest in getting involved in matters that involve the responsibilities of other departments.

Zhao Changpeng panicked and quickly said, "Director David, the Department of Justice is coming on strong this time, clearly intending to destroy us. If Binance collapses, your IRS won't necessarily stop collecting taxes from us, but it will at least be significantly reduced. This will be a loss for you!"

"Losses are losses, but this is ultimately a matter for the Ministry of Justice. Our National Taxation Bureau has no reason to interfere. We hope Mr. Zhao can understand..."

Seeing that David still refused, Zhao Changpeng looked dejected. After exchanging a glance with Lin Huaide beside him to confirm his friend's thoughts, he seemed to have made a decision and gritted his teeth, saying, "Director David, I think your IRS needs me!"

David looked up and asked, "What do you mean?"

"I dare say that although you managed to get Satoshi Nakamoto and received $200 billion, that's definitely not an accurate figure, just a rough estimate. Am I right, Director David?"

"That's right, so what?"

Given the sheer size of the Bitcoin market and the various encryption technologies involved, it's impossible for the IRS to arrive at an accurate figure.

The final figure of 200 billion was only derived by David through his examination of the Illuminati and analysis by the intelligence department.

As for whether any were omitted?

The answer is yes.

But since he had already met his general expectations, he became too lazy to investigate further.

This would not only consume a lot of his energy, but he would also be better off spending that time dealing with things like Binance and Ethereum, which would be more valuable.

"Given the current environment, the potential value of cryptocurrencies has not been fully realized, and they will certainly continue to rise in the future. At that time, the market capitalization and revenue of each company will also surge. However, it's hard to say whether they will try to play tricks on the tax authorities. And do you, the IRS and Commissioner David, really have the energy to keep an eye on the cryptocurrency industry?"

"So what exactly are you trying to say?"

"What I want to say is that Binance, as the world's largest cryptocurrency exchange, handles all cryptocurrency transactions through us. We can monitor the trading of currencies like Bitcoin and Ethereum for you. That way, no matter how cryptocurrencies change in the future, just one word from you, Director David, and we'll immediately provide you with detailed data!"

This was a last resort that Zhao Changpeng and Lin Huaide came up with last night after calming down.

The reason it's described as a last resort is that doing so would offend companies and owners of cryptocurrencies like Ethereum, Bitcoin, and others.

However, seeing that David was unwilling to help them at all, they had no choice but to resort to this transactional approach.

The Department of Justice is keeping a close eye on them now. If no external forces intervene, losing control of the company would be the least of their worries; they might even end up in jail.

Choosing to work for the IRS, while likely to anger major cryptocurrency companies, at least offers a way to save one's life.

After weighing the pros and cons, this was the only option they could have chosen.

David did show some interest upon hearing this.

He is actually quite optimistic about the current booming cryptocurrency market.

If the value of cryptocurrencies like Bitcoin and Ethereum continues to rise, it will indeed bring more benefits to the IRS.

However, to be fair, asking the Illuminati for 200 billion is like taking their lives right now. If Bitcoin rises to another level in the future, will these people obediently pay taxes to the IRS at the right price?

David felt it was unlikely, and that it would be too much of a drain on his energy to investigate each case individually.

Just like Zhao Changpeng said, if Binance, as the world's largest cryptocurrency exchange, were to act as the regulator for the IRS, it would save them a lot of trouble.

"You say you can oversee the cryptocurrency industry for our IRS, so how can I trust you?"

Platforms like Bitcoin and Ethereum might give him fake data in the future, and Binance might do the same. David doesn't want to be taken advantage of.

"It's simple, because we have no backing in America, otherwise the Department of Justice wouldn't be targeting us!"

The underlying meaning of Zhao Changpeng's words was actually telling David, "If you protect me, then you will be my support in the future."

And even if I leave you, it doesn't matter; the Department of Justice will continue to target me.

So how could I dare to betray you?

David understood immediately. He nodded slightly and then asked, "I have a question: why is the Department of Justice targeting you, and what are their reasons?"

This matter has not yet been made public by the media, so he doesn't quite understand the situation.

There's a Chinese proverb that says, "Those who are not of our race will surely have different hearts," and the same applies to America!

At this point, a hint of anger flashed in Zhao Changpeng's eyes, but he quickly composed himself and continued, "As for the reason, it's all over the place; it's nothing more than money laundering!"

"Chief David, no cryptocurrency company can claim to be free from money laundering, but money laundering is the users' own doing. We're just providing the currency and the platform. If the Department of Justice insists on targeting us for this reason, there's nothing we can do. But the fact that they're targeting us instead of others is definitely targeted!"

Lin Huaide, standing to the side, added indignantly.

David rested his chin on his hand and thought for a moment, then picked up the phone on the table: "Come to my office."

Soon, Keppert pushed open the door and entered.

"Take the two gentlemen to the lounge for a cup of coffee."

Although they were somewhat anxious for a reply, Zhao Changpeng and Lin Huaide tactfully stood up and followed Kepper to the office on the same floor.

Upon entering, Zhao Changpeng couldn't wait to ask, "Huai De, do you think he'll agree to the conditions we've offered?"

"Don't worry, Changpeng. I can tell he's clearly interested, but since this involves the Ministry of Justice, I think he should consult with their higher-ups."

"Okay, hopefully their higher-ups will agree."

"Don't worry, the profits from cryptocurrency are so huge that the IRS will only gain more benefits in the future with our help, so their higher-ups will most likely agree."

"I hope so..."

The two guesses were correct. David was talking to Donald at that moment because it involved the Department of Justice. If he wanted to get involved, he would need the General Administration to provide some information.

Otherwise, if others find out about this later, they might attack him for overstepping his authority.

"If Binance were to regulate all cryptocurrencies for us... it would certainly give us access to detailed data at any time, but this also involves the Department of Justice..."

It was clear that Donald was somewhat interested in Binance's offer.

Because he also knows very well that the cryptocurrency industry is changing every day. With Binance acting as their "monitor," they can indeed keep track of all transactions in the industry at any time, preventing major cryptocurrency companies from having the opportunity to evade taxes.

"So, David, what's your opinion?"

"If Zhao Changpeng loses control of Binance, the company will definitely fall into the hands of other cryptocurrency companies or be divided up. If these guys collude to fool us, it will be really difficult for us to investigate, and even if we do investigate, it will take a lot of effort."

It was clear from Zhao Changpeng's words that the Department of Justice was targeting their cryptocurrency company, and that the other companies were obviously their own.

David's concern is that if Zhao Changpeng is ousted, and those cryptocurrency companies collude to underreport their tax payments to the IRS, it will definitely cause a lot of trouble.

"So you mean we should help him out?"

"I think it's more beneficial for us to have him oversee cryptocurrency for us."

There was about a minute of silence on the other end of the phone before a voice came through: "Are you confident you can handle the Department of Justice?"

"I'm fairly confident."

People in the Department of Justice are human too, and human beings have weaknesses, so David was naturally confident.

"In that case, do what you need to do. I will communicate with the director about this matter."

"Alright, goodbye Deputy Director Donald."

After hanging up the phone, David immediately asked Kepper to notify Zhao Changpeng and Lin Huaide to come over.

The two were on edge as they entered, fearing David would reject them again. But David's next words filled them with immense joy.

"Tell me, who are the people in the Department of Justice investigating you?"

Suppressing his elation, Zhao Changpeng said, "They sent an investigation team, led by a special prosecutor named Morfield, who is currently in Seattle."

David thought carefully for a moment but couldn't find any information about this person. He then replied, "In that case, after you go back..."

Ten minutes later, Zhao Changpeng and Lin Huaide walked out of the office. They looked at each other and both showed expressions of relief and wry smiles.

The good news is that they shouldn't have to worry about being sent to jail or having their control of Binance taken away. As for the bitter smile, it's because from today onwards, they've essentially sold themselves to the IRS.

……

……

PS: Many people said they didn't want David to help Zhao Changpeng, but after thinking about it carefully, I realized that the plot required it and he really couldn't refuse. It's a deal where both sides get what they want, so it can't be considered a bad deal, right?

(End of this chapter)