US Lawmakers Ask Justin Sun, DLive How They Moderates Extremist Content

A pair of U.S. lawmakers have asked Tron founder and CEO Justin Sun and DLive CEO Charles Wayn to explain how they plan to prevent extremist content from being broadcast on the crypto streaming platform in the wake of last month’s attempted insurrection in Washington, D.C.

In a letter, first published by The Verge on Tuesday, Reps. Raja Krishnamoorthi (D-Ill.) and Jackie Speier (D-Calif.) asked Sun and Wayn to detail how DLive is combating “domestic extremism and white supremacy on the platform,” how it is protecting younger users from extremist content, and whether the company has any way to identify individuals financing extremist content.

DLive is a subsidiary of BitTorrent, which was acquired by the Tron Foundation in 2018. Users can stream videos and be paid by their viewers in crypto, though after the insurrection Wayn announced that only gaming content would be able to receive payments.

“Several of these individuals earned thousands of dollars in DLive’s digital currency that day, and a number received large donations through the platform ahead of the event. One individual received $2,800 in a live stream on January 5th, 2021, in which he encouraged his viewers to murder elected officials,” the letter said.

The lawmakers are part of the House Select Committee on Intelligence, which appears to be just one of the Congressional committees looking at how the insurrection unfolded and whether crypto played a role in financing it.

The House Financial Services subcommittee on National Security is holding a hearing later this month on financing of domestic terror in the wake of the Jan. 6 incident, which seems likely to discuss a $500,000 transaction in bitcoin made by a French blogger to right-wing figures who may have been at the Capitol.

“Did DLive or BitTorrent identify any foreign-based blockchain donations to individuals who were subsequently removed from the platform after the January 6th Capitol riots?” the letter asks.

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Alt-Right Groups Received $500K in BTC Month Before Capitol Riot: Chainalysis

Alt-right extremist groups and a handful of personalities linked to last week’s storming of the U.S. Capitol building received a bitcoin donation worth about $522,000 one month before the D.C. siege, according to crypto tracing firm Chainalysis.

Chainalysis explained in a Thursday blog post that an unnamed French blogger sent 28.15 BTC to 22 wallets on Dec. 8. Nick Fuentes, the far-right internet personality whose livestream from the Capitol takeover resulted in his banning from the streaming site DLive, received the single-largest donation: about $250,000, or 13.5 BTC.

There is no evidence that Fuentes entered the Capitol during the events of Jan. 6. However, he was present at the initial rally, was spotted on the Capitol grounds and promoted President Trump’s “Stop the Steal” event for weeks, Chainalysis said.

The rest of the funds appear to have been split among a smattering of other accounts with ties to far-right ideologies, Chainalysis said. Neo-Nazi blog Daily Stormer received 3% of the total, anti-immigration group VDARE 3.3% and white nationalist leader Patrick Casey 5%, among others. Yahoo News first reported the story.

In all, the transactions represent an unprecedented crypto windfall for the domestic extremists groups that Chainalysis said it tracks.

Chainalysis declined to identify the alleged donator by name due to privacy concerns and ongoing legal proceedings. However, it described the individual as a French blogger who may now be deceased. Chainalysis pointed to a seeming suicide note posted online one day after the donations initiated.

The individual laments what he claimed to be the “decline” of Western civilization and the “rejection of our ancestors and our heritage.” That language tracks with rhetoric common in white nationalist circles. He pledged to “leave my modest wealth to certain causes and people” upon his death.

Investigators are still working to determine how much planning went into the Jan. 6 Capitol storming.

For its part, Chainalysis declined to directly link the donation to the political violence in Washington, D.C., but the “timing warrants suspicion,” Chainalysis wrote.

“As mainstream payment platforms remove extremist groups and figures, we may see them embrace cryptocurrency more as a donations mechanism,” the company said.

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