Newly released documents have unveiled **Jeffrey Epstein's deep ties to the cryptocurrency industry**, shedding light on his early backing of bitcoin and major crypto companies like Coinbase.

Millions of files from the US Department of Justice reveal that Epstein **bankrolled the "principal home and funding source" for bitcoin** during its nascent stages. In 2014, he invested **$3 million in Coinbase**, the largest cryptocurrency exchange in the US, and also cut a check to **Blockstream**, a prominent bitcoin-focused technology firm. These investments came six years after his 2008 conviction for soliciting prostitution from a minor.

Despite online murmurings about a sector-level reckoning, most industry players predict **few consequences for crypto companies**. Some view Epstein as a "skeptical investor" who exited prematurely, while others claim he aimed to "undermine bitcoin."

## Coinbase's Questionable Cash

The crypto companies that secured Epstein's investment have grown into multibillion-dollar giants. Coinbase went public on the Nasdaq in 2021, with co-founder Brian Armstrong heavily influencing crypto regulation in the United States.

Epstein's 2014 investment in Coinbase was brokered by **Brock Pierce**, a crypto evangelist and co-founder of Tether. Documents show that Fred Ehrsam, a Coinbase co-founder, liaised with Pierce about the investment and sought to meet Epstein. Additional filings suggest Epstein sold half of his shares to Pierce's firm, Blockchain Capital, for $15 million in 2018.

A spokeswoman for Coinbase declined to comment; Pierce did not respond to requests.

## Backing Bitcoin

Epstein's financing of bitcoin's development stemmed from his role as a donor to MIT. Over 20 years, MIT accepted more than $800,000 from Epstein, who facilitated over $7 million in donations from other wealthy individuals.

In 2015 communications, Joichi Ito, then director of MIT's Media Lab, wrote that Epstein's "gift funds" were used to "underwrite" the launch of the **Digital Currency Initiative**, tasked with researching open-source crypto technologies. Ito explained the Lab served as the "principal home and funding source" for bitcoin.

In 2014, Ito brokered Epstein's $500,000 early-stage investment in Blockstream through a fund they co-owned. Email communications reveal Blockstream's co-founders, Adam Back and Austin Hill, were invited by Epstein to meet near his private island.

On Twitter, Back claimed Blockstream understood Epstein to be a "limited partner" in Ito's fund, which later divested due to "potential conflict of interest." He stated Blockstream has no direct or indirect financial connection with Epstein.

In communications, Epstein noted he "like[d]" Back. Hill continued emailing Epstein into 2017, checking in after a storm.

## Epstein Emails Elicit Muted Backlash from Crypto Industry

Luke Dashjr, an early bitcoin contributor, has called for Adam Back to resign as Blockstream's CEO over ties to Epstein. Dashjr said Epstein's interest in bitcoin was a sign that "evil men often seek to destroy what is good."

Charlotte Fang, founder of Remilia, said "only unserious people might care" about Epstein's investments, noting his Coinbase stake was a small part of the fundraise. She added, "Bitcoin is a decentralized technology that required no funding, and Epstein was evidently a skeptical investor."

Kadan Stadelmann of Komodo predicted retail consumers won't change habits, but some might leave Coinbase for exchanges without "unsavory sources." He surmised Epstein might have liked Coinbase's IPO prospects.

Antulio Rosales, a professor studying crypto, suggested Epstein was drawn to cryptocurrencies' potential for markets "without any ethical commitments or pressures of social norms and the law."

Newly released documents detail convicted sex offender’s early backing of bitcoin and Coinbase

Shocking Revelations: Jeffrey Epstein's Hidden Role in Bitcoin and Coinbase Exposed

While **Bitcoin** and **Ethereum** dominate the crypto headlines, they're not the only players in town. These two giants make up about 70% of the total crypto market value, but hundreds of smaller, higher-risk cryptos offer potentially greater upside that could outperform the market leaders.

Top investor **Dominic Basulto**, ranking among the top 3% on TipRanks, highlights three such coins worth watching in 2026: **XRP**, **Solana**, and **Chainlink**. He believes, "All three have the potential to outperform Bitcoin and Ethereum this year to deliver outsized gains to investors."

Let's dive into the case for each.

## **XRP (XRP-USD)**

XRP is possibly the most obvious pick, as it's the fifth-most valuable crypto and delivered outsized gains early last year, including a surge from $0.50 to $3.40 between November 2024 and January 2025. Basulto argues its case is stronger this year, with the long-running **SEC lawsuit** against creator Ripple resolved in August, removing a major regulatory overhang. Since then, Ripple has completed **$2.5 billion in blockchain acquisitions** and secured **$500 million in financing** at a $40 billion valuation.

"Now it’s time to buckle down and put that money to work building an end-to-end financial infrastructure with XRP at the core," says the 5-star investor. "If that happens, XRP could skyrocket in value."

![XRP chart](https://blog.tipranks.com/wp-content/uploads/2026/02/image-920.png)

## **Solana (SOL-USD)**

Since its 2020 launch, Solana has been seen as a potential **"Ethereum killer."** Crypto champion **Cathie Wood** has highlighted its advantages in speed, cost, and throughput. With a **$65 billion market cap** versus Ethereum's $326 billion, Basulto thinks Solana could close the gap—and possibly surpass Ethereum within five years.

Its rapid ecosystem growth supports such lofty ambitions. In the year ending September 2025, Solana generated **$2.85 billion in revenue**, and its decentralized exchanges now see more daily trading activity than Ethereum's.

"As long as Solana can continue to erode the market share of Ethereum in key areas such as **DeFi**, it should continue to increase in value," Basulto added. As recently as January 2025, Solana was trading at $294, suggesting it's not impossible for it to double in value this year.

![Solana chart](https://blog.tipranks.com/wp-content/uploads/2026/02/image-922.png)

## **Chainlink (LINK-USD)**

Chainlink had its last major rally in 2020–2021, when LINK jumped from about $2 to over $50, but has since crashed and now trades **83% below its all-time high**. Still, Basulto finds it attractive in 2026 as the leading **decentralized oracle network** that connects smart contracts to real-world data, enabling sophisticated blockchain applications and interoperability across chains—a foundational role in **Web3** that few other projects match.

Its **Cross-Chain Interoperability Protocol (CCIP)** and advanced data services are increasingly used to bridge liquidity and tokenized assets across blockchains, which could underpin demand for the LINK token if adoption continues to rise.

In late 2025 and early 2026, Chainlink expanded its footprint with major ecosystem milestones, including **24/5 U.S. equities data streams** across more than 40 blockchains, institutional collaborations for tokenized fund data, and products like the **Automated Compliance Engine** to embed KYC/AML checks into smart contracts, making Chainlink more appealing to enterprises and regulated financial players.

![Chainlink chart](https://blog.tipranks.com/wp-content/uploads/2026/02/image-921.png)

It's true all three are trading significantly below their all-time highs, which could signal that something major is wrong. "However," Basulto wrapped up, "I’m taking an optimistic (and perhaps foolhardy) view of things. All three of these altcoins look to be **grossly undervalued**, and as long as it looks like Bitcoin is going nowhere fast this year, I’m willing to take a flier on them. There’s just too much potential upside to ignore."

*Disclaimer: The opinions expressed in this article are solely those of the featured investor. The content is intended for informational purposes only. It is very important to do your own analysis before making any investment.*

Bitcoin (BTC-USD) and Ethereum (ETH-USD) get most of the headlines whenever the conversation turns to cryptocurrencies, but they are far from the only game in crypt...

Today Bitcoin Articles Digested