Chinese authorities are pursuing the confiscation of nearly 62,000 bitcoin tied to an alleged investment fraud case, with the coins now valued at around $5 billion. The assets were seized by British authorities after the alleged scheme’s controller fled China, creating a cross-border dispute over ownership and compensation for victims.
Alleged fraud and bitcoin holdings
Prosecutors allege that Qian Zhimin, described as the alleged controller of Tianjin Lantian Gerui Electronic Technology, helped recruit associates to market wealth-management products across China between 2014 and 2017. The products were allegedly sold without financial regulatory approval and promoted with promises of guaranteed returns.
According to Bitcoin Magazine, citing a report by Shanghai’s The Paper, the operation collected about 40.3 billion yuan, equivalent to roughly $2.8 billion. Prosecutors allege that much of the money was used in a Ponzi-style arrangement, with funds from new participants used to repay earlier investors. The remaining money was allegedly directed into bitcoin, property, vehicles and jewelry rather than legitimate business activities.
The case began to unravel in July 2017, when Qian allegedly left for the United Kingdom with computers containing the bitcoin wallets. British authorities subsequently seized approximately 61,900 BTC, along with cash, jewelry and other cryptocurrencies.
UK ruling shapes recovery dispute
The seized bitcoin has increased substantially in value since 2017, making the legal question over ownership especially significant. The UK High Court recently ruled that Chinese law, rather than UK law, applies to disputes concerning ownership of the bitcoin.
That decision could affect how the assets and their gains are distributed to people who lost money in the alleged scheme. The UK’s Crown Prosecution Service has said victims may seek recovery through China’s compensation process. However, representatives of Fieldfisher, the law firm acting for some victims, are considering an appeal.
Further hearings are expected to address whether individual victims can establish entitlement to the seized assets. The legal process therefore involves both the confiscation request in China and the separate question of how any recovered value should be allocated.
Confiscation process in China
The Second Intermediate People’s Court of Tianjin said it accepted the prosecution’s application to confiscate Qian’s illicit assets on September 28. Victims may register to take part in asset-recovery proceedings through a WeChat platform. A six-month notice period will precede the formal trial.
The case unfolds against China’s restrictive approach to cryptoassets. The Chinese government banned digital-asset trading and bitcoin mining in 2021. Any eventual recovery process would therefore take place within a legal system that has imposed strict limits on cryptocurrency activity.
Moneyiar market picture
Moneyiar market data at 23:38 on October 22, 2026, showed Bitcoin at $81,208.78, down 3.61% over 24 hours and 1.11% over seven days. At that price, nearly 62,000 BTC would be worth approximately $5 billion, broadly matching the reported valuation.
Other assets were also lower: NEAR Protocol stood at $4.8603, down 7.08% in 24 hours and 7.34% over seven days, while Aethir traded at $0.005863, down 4.80% and 0.68%, respectively. Billions Network was priced at $0.013997, down 0.59% over 24 hours but up 10.04% over seven days, according to Moneyiar data at 01:39 on September 21, 2026.
