Defendant in UK's Largest Bitcoin Money Laundering Case Pleads Not Guilty, Involving Over $4 Billion in Bitcoin

Defendant in UK's Largest Bitcoin Money Laundering Case Pleads Not Guilty, Involving Over $4 Billion in BitcoinOn October 21, 2024, Qian Zhimin (previously known as Zhang Yadi and "Huahua"), the defendant in the UK's largest Bitcoin money laundering case, pleaded not guilty to all charges in Southwark Crown Court, London. The trial is scheduled to begin on September 29, 2025, at the same court

Defendant in UK's Largest Bitcoin Money Laundering Case Pleads Not Guilty, Involving Over $4 Billion in Bitcoin

On October 21, 2024, Qian Zhimin (previously known as Zhang Yadi and "Huahua"), the defendant in the UK's largest Bitcoin money laundering case, pleaded not guilty to all charges in Southwark Crown Court, London. The trial is scheduled to begin on September 29, 2025, at the same court.

Qian Zhimin was charged by the UK's Crown Prosecution Service with two counts of illegally possessing cryptocurrency. Her lawyer stated, "Qian Zhimin denies all charges of criminal activity and intends to aggressively defend this case." Another defendant, "SenghokLing," who appeared in court with her, also pleaded not guilty to one count of money laundering, knowing that the property was the proceeds of crime.

This case has drawn considerable attention because Qian Zhimin was the mastermind behind the Tianjin Lantian Greyi illegal fundraising case seven years ago. Her criminal group is accused of converting illicit funds into Bitcoin assets and fleeing to the UK to spend it. The 128,000 Chinese investors who were caught up in the scheme have been actively seeking compensation but have faced multiple challenges, including cross-border debt recovery, virtual currency ownership, and value conversion.

According to Jiemian News, representatives of the victims were present in court and were represented by a cross-border asset dispute legal team. The lawyers have filed a civil claim for compensation on behalf of the creditors in the UK High Court.

In response to the Chinese victims, the UK's Crown Prosecution Service (CPS) released a statement on October 22 stating that it had initiated civil recovery proceedings earlier this year regarding the assets frozen from Qian Zhimin and others in the UK. This process will proceed until it reaches the stage stipulated in Article 281 of the Proceeds of Crime Act 2002, at which point intergovernmental contact will occur.

The CPS filed a civil recovery claim in the High Court earlier this year. If no other individuals or entities claim ownership of the criminal assets, half will belong to the UK police, and the other half will be transferred to the UK Home Office, aiming to manage criminal proceeds and prevent further crime.

Qian Zhimin's escape began in 2017. That year, seven Chinese ministries jointly issued a notice prohibiting all forms of token issuance and financing activities. At the time, 8,600 cases of illegal fund-raising were investigated nationwide, with 50 cases involving over 100 million yuan. Among them, Lantian Greyi illegally absorbed public deposits totaling 43 billion yuan.

After the incident, Qian Zhimin escaped abroad using a forged passport from a Commonwealth country. She brought with her a laptop containing a cryptocurrency wallet pre-filled with Bitcoin transferred through her subordinate's Huobi account. Upon arrival in the UK, she hired a Chinese woman named Jian Wen in London to help her tour various parts of Europe, including Switzerland, Italy, and Greece, with the aim of spending her illegal gains on major purchases, including real estate, cars, and jewelry.

Meanwhile, the UK's Financial Conduct Authority (FCA) began cracking down on money laundering through cryptocurrency assets. In 2018, Qian Zhimin and Jian Wen attempted to buy a 23.5 million mansion directly using Bitcoin, but the police became suspicious due to the unclear origin of the funds. Subsequently, Jian Wen was arrested, but Qian Zhimin fled beforehand.

It is understood that while evading capture, Qian Zhimin planned to invest in Liberland, a micro-nation in Eastern Europe not recognized by the international community. She intended to become the "leader" there and build the largest Buddhist temple and airport in Europe to gain diplomatic immunity. Liberland claims to create a European tax haven through cryptocurrency investment.

During the COVID-19 pandemic, the London police conducted repeated searches of Qian Zhimin, Jian Wen, and their residences. Ultimately, they seized 61,000 Bitcoin based on the Proceeds of Crime Act 2002, marking the largest seizure in the country's history. These assets will remain frozen until the completion of the civil recovery proceedings or until further orders from the High Court.

According to the latest Bitcoin price on October 22, the current value of the frozen Bitcoin is $4.09 billion (approximately 29.1 billion yuan).

The UK's Proceeds of Crime Act 2002 establishes both criminal forfeiture for criminal assets and civil recovery for illicit gains. On March 18, 2024, a jury at Southwark Crown Court found Jian Wen guilty of money laundering, and she was subsequently sentenced to six years and eight months in prison. The confiscation proceedings related to her assets have been postponed until January 2025.

Qian Zhimin was apprehended in the UK in April this year and appeared in Westminster Magistrates' Court on May 22 with SenghokLing, using the name Zhang Yadi. Currently, no further public information is available about SenghokLing's identity or involvement in the case.