Chinese prosecutors are seeking to confiscate more than 61,800 Bitcoin and other assets connected to an alleged investment fraud that raised more than 40.378 billion yuan, or about $5.7 billion, from more than 102,000 people. The proceedings could determine how victims pursue claims to a cryptocurrency holding whose value has changed substantially since British authorities seized it.
Prosecutors target alleged illegal gains
The case centers on Qian Zhimin, whom prosecutors identify as the alleged controller of Tianjin Lantian Gree Electronic Technology. Authorities say the company sold wealth-management products without the required authorization between 2014 and 2017.
The products reportedly promised investors that their principal would be protected while also offering high returns. According to the allegations, the scheme collected more than 40.378 billion yuan from over 102,000 investors. Victims were left with losses of nearly 20 billion yuan.
Prosecutors say the funds were not used solely for genuine business activity. Instead, money was allegedly directed toward paying earlier participants, purchasing Bitcoin and acquiring property, cars and jewelry. Using funds from new participants to repay earlier ones is commonly associated with a Ponzi-style structure, although the legal proceedings will determine the applicable findings in this case.
The company’s alleged controller left China in 2017 and later settled in the United Kingdom. British authorities subsequently seized assets attributed to him, including more than 61,800 Bitcoin. The seizure also covered other cryptoassets—Bitcoin Cash, Bitcoin Gold, Bitcoin SV, Ripple and Dogecoin—as well as cash, jewelry and investment holdings.
According to CoinDesk, citing reporting by the Chinese outlet The Paper, Chinese prosecutors have now asked to confiscate these assets as illegal gains.
Chinese and British proceedings overlap
Tianjin’s Second Intermediate People’s Court said on October 13 that it had accepted the prosecutors’ confiscation request. The court has opened a six-month period during which victims and other interested parties can join the case.
People who do not participate during that period are not necessarily excluded from seeking compensation. The court has said they may still pursue refunds from assets that are recovered. The proceedings therefore involve both the government’s effort to confiscate property and the separate question of how the assets should ultimately be distributed among people who claim losses.
The Chinese action follows a decision by the U.K. High Court concerning the Bitcoin held in Britain. The court ruled that Chinese law, rather than English law, should govern alleged victims’ claims to more than 61,000 of the seized coins.
That ruling did not decide that victims have no possible route to recovery. Instead, it means their claims must be assessed under Chinese law to determine whether they have a legally recognized property interest in the Bitcoin. Additional hearings are expected, and lawyers representing some victims are seeking permission to appeal.
The two proceedings highlight the legal complications that can arise when alleged financial misconduct, cryptocurrency ownership and assets held across borders intersect. A confiscation order in China and claims in the United Kingdom address related assets, but they do not by themselves settle every question over ownership, recovery or distribution.
Why the Bitcoin holding matters
The scale of the cryptocurrency holding makes the case significant. More than 61,800 BTC represents a large concentration of one digital asset in a dispute involving a very large number of alleged victims. The Bitcoin was acquired during the period covered by the allegations, but the coins’ market value has changed since then, affecting the potential value of the assets available in any recovery process.
The case also illustrates the difference between an asset being seized and victims receiving compensation. Seizure places property under the control of authorities or a court; recovery depends on legal findings, the recognition of claimants and the eventual treatment of the assets. Those issues remain subject to the Chinese confiscation process and the related British litigation.
Moneyiar market picture
Moneyiar data at 23:04 on October 22, 2026, showed Bitcoin at $81,260.478197659, down 3.68% over 24 hours and down 1.19% over seven days.
Other tracked assets were also mixed. Sei was priced at $0.0569917137 at 23:03, down 9.14% in 24 hours and 8.4% over seven days. Pharos stood at $0.6091178381 at 23:04, up 2.35% over 24 hours and 2.67% over seven days. Billions Network was recorded at $0.0139971939 at 01:39 on September 21, up 10.04% over seven days but down 0.59% over 24 hours.
At the Bitcoin price recorded by Moneyiar, the disputed coins would have a gross market value of roughly $5.02 billion based on 61,800 BTC. That calculation reflects the supplied market price only and does not determine the legal value of the assets, the amount recoverable by victims or the outcome of the proceedings.
