China Alleges U.S. Involvement in Massive Bitcoin Heist
China Accuses U.S. in Crypto Theft
A report from China's National Computer Virus Emergency Response Center (CVERC) accuses the U.S. government of involvement in a major cryptocurrency theft, intensifying the ongoing investigation into 127,000 stolen bitcoin, valued at approximately $13 billion. The CVERC claims the U.S. Department of Justice seized these bitcoins, initially stolen in a 2020 breach of the LuBian mining pool.
The hacked funds were reportedly linked to Chen Zhi, chairman of Cambodia’s Prince Group, now facing a U.S. indictment for alleged crypto fraud. The report outlines a detailed timeline, suggesting sophisticated tools were used, indicating a "state-level hacking organization." This information comes from the Global Times, a publication tied to China's Communist Party.
For nearly four years, the bitcoins remained untouched and the hack unnoticed. However, in mid-2024, the funds were transferred to new wallets, later identified by blockchain analysis firm Arkham as U.S. government holdings.
CVERC contests the U.S. narrative that these funds were criminal proceeds, suggesting instead that the seizure might have been part of a larger operation involving the original attackers. The U.S. government asserts the action was a legitimate law enforcement measure.
Codeum has reached out to the U.S. Treasury and Department of Justice for comments but has not received a response by the time of publication.