A $5 billion Bitcoin fortune is at stake, but UK court says being defrauded isn’t enough to claim it
Summary
A London High Court judge ruled that Chinese law, not English law, governs investors’ claims to more than 61,000 Bitcoin seized from fraudster Zhimin Qian. The ruling rejects victims’ attempt to use English property and trust principles to trace their investments into the cryptocurrency. It does not decide who owns the Bitcoin or how much may be recovered. Claimants must prove a proprietary interest under Chinese law; showing that they suffered losses is insufficient under the UK’s Proceeds of Crime Act. The fraud schemes raised about 40.23 billion yuan from more than 128,000 contracts, with substantial repayments to some participants. Further proceedings will examine Chinese law and individual claims. Victims’ lawyers plan to appeal.
