The suspected founder of cybercurrency Bitcoin claimed he used nearly $85 million worth of the currency to buy gold and software based on advice from businessman Mark Ferrier.

Sydney academic and supposed Bitcoin creator Craig Steven Wright, who is said to use a Japanese pseudonym, allegedly struck a deal with former mining contractor Mark Ferrier in 2013 and planned to use the gold to build his business, The Australian reported.

But the alleged deal fell through, prompting Dr Wright to sue Mr Ferrier for $84.25 million in the Federal court, but the claim was dropped in 2014.

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Australian academic Craig Steven Wright, who has been named as the probable creator of digital currency Bitcoin in a new report

Since it was launched in January 2009, the value of the bitcoin currency has ballooned to almost $US5bn

Bitcoins created by an enthusiast in the United States in 2013 (stock image)

The pair met at a mining conference and allegedly agreed Mr Ferrier would buy software on Mr Wright's behalf.

Dr Wright claimed Mr Ferrier, who was working with an ASX-listed goldmining company, also persuaded him to purchase gold - allegedly telling him gold was a good asset to have in case the price of 'funny money' Bitcoin crashed.

Dr Wright alleged he paid Mr Ferrier the value of $38.8m, equivalent to 245,103 Bitcoins, in August 2013 and a further $20.3 million, or 135,000 Bitcoins, the next month.

Later in 2013, Dr Wright launched action against Mr Ferrier in court, however, discontinued it in March 2014, The Australian reported.

On Sunday, Mr Ferrier told The Australian he had 'never met' Dr Wright before the legal action, and said the academic had not paid him 'one cent'.

The investigation included a leaked email of Dr Wright's with Australian tax officials in 2014 saw him reportedly confess to 'running' Bitcoin

The AFP police swooped on Dr Wright's property last week, coincidentally hours after a report on the suspected Bitcoin founder's identity

The AFP referred all inquiries about the raid to the Australian Tax Office, who told Daily Mail Australia they were not willing to comment on the raid

Recently, an investigation from tech site Wired claimed the 44-year-old Dr Wright was likely the real identity of Satoshi Nakamoto, the pseudonymous figure that first released bitcoin's code in 2009.

In a bizarre coincidence, more than a dozen Australia Federal Police officers raided Dr Wright's Gordon property on Sydney's north shore hours after the report was released, but they denied any link to the report.

News outlets have endeavoured to unravel the mystery of who created Bitcoin for several years due to its link with criminal activities – such as the sale of drugs on the dark net - as well as the future of the multi-billion dollar digital asset.

Software engineer Mike Caldwell shows the front of a physical Bitcoin he minted in Utah, United States, in 2013. (stock image)

More than a dozen Australia Federal Police officers raided Dr Wright's Gordon property on Sydney's north shore at 1.30pm on Wednesday, just hours after the report was published

A statement from the AFP claimed their 'presence at Dr Wright's property is not associated with the media reporting overnight about bitcoins'

Bitcoins are lines of computer code that are digitally signed each time they travel from one owner to the next.

They are the basic unit of a new online economy which runs independently of any company, bank, or government.

They have become increasingly popular – with libertarians as well as technophiles, speculators and criminals – because they allow people to trade money without a third party getting involved.

The AFP police swooped on Dr Wright's property at about 1.30pm on Wednesday, claiming they were 'clearing the house' after being asked what they were doing.

A statement from the AFP claimed their 'presence at Dr Wright's property is not associated with the media reporting overnight about bitcoins'.

The AFP referred all inquiries about the raid to the Australian Tax Office, who told Daily Mail Australia they were not willing to comment on the raid.

‘Due to confidentiality provision in the tax administration act, the ATO cannot comment on any individuals or entity’s tax affairs,’ the ATO spokesperson said.

‘Due to confidentiality provision in the tax administration act, the ATO cannot comment on any individuals or entity’s tax affairs,’ the ATO spokesperson said

The police raid came hours after Wired magazine published the report saying Dr Wright was likely the secretive bitcoin creator

The New York Times, Newsweek and other publications have guessed at Nakamoto's real identity, but none has proved conclusive

Dr Wright, who spoke via Skype at a Bitcoin Investor's Conference in Las Vegas this year, has had a long-running career in academia- but the investigation suggests he was also behind the Nakamoto alias.

The report on the Bitcoin founder features posts on Dr Wright's blog - which was deleted after the report was published - that declared his intent to launch a 'cryptocurrency paper' in 2008.

In another post from 10 January 2009, Wright announced the launch of bitcoin 'tomorrow' - which would have been published in Australian time before the 3pm launch on 9 January in American time.

The report also contained a leaked email Dr Wright drafted during a tax dispute with the Australian government which was signed 'Satoshi Nakamoto' but was never sent

A leaked transcript of a meeting between Dr Wright's and Australian tax officials in 2014 which saw him seemingly confess to 'running' Bitcoin was also published in the report.

Dr Craig Steven Wright speaks via Skype at a Bitcoin Investor's Conference in Las Vegas this year

News outlets have endeavoured to unravel the mystery of who created Bitcoin for several years in a bid to determine the future of the multi-billion dollar digital asset

'I did my best to try and hide the fact that I've been running bitcoin since 2009. By the end of this I think half the world is going to bloody know.'

Daily Mail Australia has been unable to confirm whether the interviews took place or whether the transcripts are an accurate representation of the interviews if they did indeed occur.

The New York Times, Newsweek and other publications have guessed at Nakamoto's real identity, but none has proved conclusive.

Nakamoto was nominated for a Nobel prize earlier this month but was declared ineligible do to his mysterious identity, prompting the following tweet from Dr Wright.

'If Satoshi-chan was made for an ACM turing price [sic] or an Alfred Nobel in Economics he would let you bloody know that'.

Since it was launched in January 2009, the value of the bitcoin currency has ballooned to almost $US5bn.