China’s cybersecurity watchdog has accused the U.S. government of stealing 127,000 Bitcoin worth $13 billion, claiming the coins were seized after a 2020 cyberattack.
In a report published Sunday, China’s National Computer Virus Emergency Response Center (CVERC) alleged that the U.S. Department of Justice took control of digital assets stolen from the LuBian mining pool in 2020. The accusation adds a new layer of tension to the ongoing digital asset dispute between the two global powers.
CVERC claimed the attack was carried out using advanced tools by a “state-backed hacking group.” According to the Global Times, affiliated with the Chinese Communist Party’s People’s Daily, the targeted funds belonged to Chen Zhi, then-chairman of Cambodia’s Prince Group, who now faces large-scale crypto fraud charges in the U.S.
Blockchain analytics firm Arkham found that the stolen Bitcoin remained untouched for nearly four years before being moved to new wallets in mid-2024, which were later tagged as U.S. government addresses. CVERC dismissed the U.S. explanation that these were “seized criminal proceeds,” suggesting instead that the seizure could have been the final stage of the hack itself. The U.S. government, however, insists the action was a legitimate law enforcement operation.
