Man Vows to Keep Fighting After Losing Legal Battle to Dig for Bitcoin Fortune

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Regardless of the obstacle, 39-year-old James Howells maintains that he’s still very much committed and not yet prepared to abandon his ten-year pursuit of retrieving his cryptocurrency wealth.

In the year 2009, Bitcoin caught Howell’s attention for the first time, as he was busy mining this newly introduced digital money in an extra room of his house located in Newport. He claims to have mined approximately 8,000 coins when their value was practically negligible. He saved these coins on a compact 2.5-inch hard drive for a laptop and stashed the device away in a desk drawer.

In 2013, unfortunately, Howells’s then-partner accidentally threw away the hard drive amongst other discarded items. Since that time, the former IT worker turned entrepreneur has been trying to convince Newport City Council to let him dig through the Docksway landfill, as he thinks his drive might be there. The escalating price of Bitcoin over the years has made the estimated worth of his inaccessible Bitcoins over £600 million.

High Court Ruling

Last month, Howells brought his issue to the High Court in Cardiff, describing it as his final option. He asked the council to permit him to excavate a landfill or face a compensation claim of up to £495 million. Howells believes that a skilled team of recovery engineers could find the disk without any cost to local taxpayers.

As a researcher, I found myself engaged in a situation where Newport City Council contested my claim, invoking both legal and environmental concerns. At the heart of their argument was the assertion that once items are deposited into a municipal landfill, the ownership shifts to the local authority. Moreover, they posited that opening up the site could potentially cause substantial ecological disturbance and pose regulatory challenges.

On January 9th, Judge Keyser KC ruled against Howells’ claim, stating that there was little chance of success at trial. Although he expressed disappointment with the decision, Howells made it clear that this ruling would not halt his quest for a resolution. He labeled the council’s unwillingness to discuss his ideas as “living in the dark ages.

‘James Coin’ and a New Plan

Unphased by the court’s decision, Howells proposes a strategy he terms “tokenization” – an endeavor designed to allow him to earn money from the lost Bitcoins without needing to retrieve the hard drive physically. Likening it to ancient gold-backed banknotes, Howells plans to develop a new cryptocurrency, tentatively named “James Coin,” whose worth would correspond to that of the Bitcoin trapped in the landfill he can’t access.

He stated, “The Bitcoin appears to be permanently stationary according to him. Since he’s unable to access the private key, it seems it will remain there forever. However, if he could legally prove ownership of the coins, he could create a new token based on them and trade that token in the cryptocurrency market.

As a researcher, I acknowledge this method may not completely recoup the £600 million, but I am optimistic it could still yield a reasonable return. Additionally, this endeavor could foster a cryptocurrency that resonates with potential investors. Furthermore, I’ve proposed “Ceiniog Coin” as a possible name, aiming to instill a uniquely Welsh character in the project and potentially attract interest from that community.

Environmental Concerns and Alleged ‘Bribe’

Since starting his quest to find the hard drive, Howells has gathered an international group consisting of investors, engineers, and legal experts. They’ve outlined a carefully thought-out excavation process that is expected to last anywhere from 18 to 36 months, followed by another year dedicated to cleaning up the landfill. As per Howells’s proposal, the entire project will be funded by private investors, thereby eliminating any council expenses directly.

To make his offer more appealing, he suggested giving 10% of any found Bitcoin value to the local government. However, the council’s lawyers deemed this as inappropriate “incentive” and warned it could lead the town to disregard environmental rules. They also reminded that stringent regulations prevent modifications within the landfill area.

The Newport City Council has repeatedly denied access to its landfill site, citing concerns about potential environmental hazards and an insufficient legal basis for Howells’s request. Following the High Court’s ruling, the council expressed satisfaction with the decision, pointing out that the process had already consumed vast amounts of staff time and that large-scale digging would violate environmental regulations.

Over the past decade, the missing hard drive has significantly impacted Howells’ life. Previously working in IT, he claims he quit his job to focus entirely on the recovery process. With backing from American hedge funds and other investors, he took legal action, presenting arguments that underscored his right to search for what he considers his “digital intellectual property.” Although Judge Keyser sided with the council’s viewpoint, Howells interprets this as an implicit recognition of his ownership over the Bitcoin.

Howells expressed his disappointment at not being allowed to go to trial, but he felt hopeful when the judge mentioned that the council could potentially possess the physical hard drive, yet he maintains ownership of the Bitcoin.

Currently, he is eagerly anticipating the concluding decree, hoping that it will legally validate his claim on the property, thereby strengthening his tokenization initiative.

What’s Next?

Regardless of the High Court verdict, Howells remains steadfast. He’s promised to elevate the case further, potentially to the Supreme Court, should any signs emerge suggesting he could eventually gain permission to hunt for the hard drive. However, for now, his attention has pivoted towards the launch of his new cryptocurrency, which is built on the belief that treasure lies buried beneath Welsh ground.

He declared, “As long as no higher authority prohibits it, I’ll persist in my struggle.” Regarding the Bitcoins, even if I can’t physically reclaim them, I’m determined to turn them into something valuable.

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2025-01-10 12:48