A Chinese national, Zhimin Qian—also known as Yadi Zhang—has been convicted in the UK following an international fraud investigation that led to what authorities describe as the largest single bitcoin seizure in history.
Major bitcoin seizure and conviction
The Metropolitan Police recovered 61,000 bitcoin, valued at more than £5 billion ($6.7 billion) at current prices, as part of their probe into Qian’s activities.
She pleaded guilty at Southwark Crown Court to illegally acquiring and possessing the cryptocurrency, which was amassed through a large-scale scam in China between 2014 and 2017.
According to police, Qian deceived more than 128,000 victims and stored the stolen funds in bitcoin, making this the largest cryptocurrency seizure ever recorded in the UK.
Money laundering network and accomplices
Malaysian national Seng Hok Ling also pleaded guilty to money laundering in connection with the scheme.
The court heard that Ling had been dealing in bitcoin on Qian’s behalf, knowing the funds were proceeds of crime.
The investigation, which spanned seven years and involved multiple jurisdictions, also implicated former Chinese takeaway worker Jian Wen, who was jailed last year for laundering part of the proceeds.
Wen used the illicit funds to purchase properties in London and Dubai and moved into a multimillion-pound residence.
Impact on victims and ongoing proceedings
Qian’s solicitor, Roger Sahota, stated:
“By pleading guilty today, Ms Zhang hopes to bring some comfort to investors who have waited since 2017 for compensation, and to reassure them that the significant rise in cryptocurrency values means there are more than sufficient funds available to repay their losses.”
The court has begun confiscation proceedings to retrieve further assets, and sentencing is scheduled for November. UK authorities have reformed laws to make it easier to seize and recover bitcoin and other digital assets tied to criminal activities.
Authorities highlight criminal use of bitcoin
The case has drawn attention to the use of bitcoin by organized criminals. Deputy chief Crown prosecutor Robin Weyell noted:
“Bitcoin and other cryptocurrencies are increasingly being used by organised criminals to disguise and transfer assets, so that fraudsters may enjoy the benefits of their criminal conduct.”
This conviction, according to UK Security Minister Dan Jarvis, sends a “clear signal” that the UK is not a safe haven for money launderers or fraudsters.
