British prosecutors plan to repay victims of an almost $7 billion Bitcoin fraud in China, even though the British government previously indicated it intended to keep most of the funds.
Became Chinese citizen in September Zhimin Qian pled guilty Obtaining and possessing criminal property in the form of $6.8 billion worth of Bitcoin. Qian obtained funds through a fraudulent investment scheme that defrauded more than 128,000 people in China between 2014 and 2017. For many years, Qian attempted to launder assets by converting illegally obtained funds into Bitcoin. Metropolitan Police Department Stolen Bitcoins seized From 2018 to 2021 after Mr Qian fled China and entered the UK with false documents.
Over the past few weeks, we have received many questions about its content. The UK government plans to Nearly $7 billion in Bitcoin is hidden away. GermanyFor example, sold Billions of dollars worth of Bitcoin That was all last year confiscated From various surveys. In contrast, the U.S. government still has $37 billion worth of seized assets. arkham intelligenceand national legislators use them to Stockpiling digital assets.
After initially indicating they intended to keep most of the Bitcoin, prosecutors in the case said during today’s court hearing that they are planning a compensation plan for the victims, according to reports. bloomberg. Several investors have reportedly applied to the court to recover their funds.
William Glover, a lawyer for the victims’ group, said some investors “suffered significant personal losses in the form of destroyed lives, marriages, families and businesses.” bloomberg.
Prosecutors have not yet released specific details about how the compensation system will work. “Given the unprecedented scale of the foreclosure and the public debate over the potential surplus, our position is clear that compensation for victims must be a top priority,” said attorney Jackson Ng, who is representing the investors. bloomberg.
Nick Harris, CEO of a UK-based crypto asset recovery company CryptocareHowever, it warns that victims may be disappointed with the end result.
“Rather than directly redistributing the seized bitcoins, the UK may hold onto them under the Proceeds of Crime Act,” Harris said. decryption.
“Typically, confiscated assets are transferred to Treasury and law enforcement budgets through the Asset Recovery Incentive Scheme, which is modeled after the United States and Australia, where compensation for victims is not necessarily a priority,” he said.
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