The Great Bitcoin Windfall: UK’s $7B Crypto Cache Traced to Chinese Scam

The UK government plans to sell at least 61,000 BTC. The Home Office has announced a tender for the storage and sale of confiscated cryptocurrencies; the contract is valued at $53.7 million. The proceeds from the sale are expected to be transferred to the Treasury. UK authorities plan to sell at least 61,000 BTC (about $7 billion at the time of the announcement). The assets were confiscated after the uncovering of a financial pyramid scheme linked to a Chinese citizen, according to The Telegraph . In early 2024, British police confiscated 61,000 BTC connected to a large-scale investment fraud in China. At the same time, the trial of 42-year-old Jian Wen began; he is accused of involvement in laundering funds worth £5 billion. The proceeds from the sale of the bitcoins are expected to go to the Ministry of Finance, which is facing a budget deficit. The Chancellor of the Exchequer, Rachel Reeves, is closely involved in overseeing the process. Simultaneously, the government announced a tender for the storage and sale of confiscated crypto-assets. The contract is valued at £40 million (about $54 million). However, as The Telegraph notes, no suitable bids have been submitted. Reform UK party leader Nigel Farage called for the UK to create a national bitcoin reserve, but Labour rejected the idea. The CEO of asset forfeiture company Asset Reality, Aidan Larkin, said:“We have real oil under our feet when it comes to digital assets linked to illegal activity that can generate hundreds of millions of pounds for the UK every year.”

Source: Coinpaper