Chinese And US Governments Fighting Over Bitcoin? | Crypto News
A new technical report from China’s National Computer Virus Emergency Response Center (CVERC) has revealed stunning particulars about one of the most important Bitcoin hacks in historical past, which factors to a hidden energy wrestle between China and the United States over $15 billion in Bitcoin. The stolen Bitcoin stayed untouched for 4 years, which blockchain specialists say is uncommon for typical hackers. Now, both China and the US are pointing fingers, with some analysts suggesting the US authorities might have secretly seized the cash.
China’s 2020 Bitcoin Hack Raises Questions About US Government Involvement
LuBian was a fast-growing Bitcoin mining pool launched in 2020, mainly working in China and Iran. In late December 2020, hackers attacked its system and stole over 90% of its Bitcoin, matching virtually precisely the 127,271 BTC later claimed by the US Department of Justice (DOJ).
Soon after the theft, Chen Zhi, chairman of Prince Group in Cambodia, and his staff despatched over 1,500 messages on the Bitcoin blockchain, embedded in small transactions, begging the hackers to return the funds and offering a ransom. The hackers never responded. The stolen Bitcoin remained in a single pockets from 2020 until mid-2024, an uncommon transfer, as most hackers transfer stolen cash rapidly. Blockchain specialists say this habits suggests a fastidiously deliberate state-level operation.
Who Really Controls The 127,000 BTC?
In June 2024, the stolen Bitcoin finally moved again to new addresses, which well-known blockchain-tracking corporations, including Elliptic and Arkham Intelligence, have recognized as being under US authorities control. Then, on October 14, 2025, the US DOJ announced that it had seized 127,000 Bitcoins from Chen Zhi and charged him with financial crimes.
Chinese specialists, however, declare these are the same cash stolen from LuBian in 2020, suggesting that the US authorities might have managed them years earlier. According to the CVERC report, the bizarre habits of the stolen cash remaining dormant for 4 years suggests that doable state-level operations are now intersecting with the DOJ’s legal case against Chen.
Blockchain analysis reveals that all 25 Bitcoin pockets addresses talked about in the US DOJ indictment correspond to the addresses concerned in the 2020 hack. Only a tiny fraction of the stolen Bitcoin was ever moved before 2024, highlighting the bizarre, state-level nature of the operation.
The report additional suggests that the US might have acquired the stolen funds long before asserting the seizure, presumably even collaborating in or benefiting from the unique hack. Chinese analysts argue that this seems to be a “state-level double-cross”, where one authorities used hacking instruments to seize digital property under the quilt of law enforcement.
Meanwhile, the US DOJ has not explained how it obtained Chen Zhi’s non-public pockets keys or why those wallets precisely match the stolen LuBian funds, leaving the query of correct control unresolved.
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