London Court Says Chinese Law Applies to Seized Bitcoin Claims
A London High Court judge ruled that Chinese law must govern claims by Chinese fraud victims seeking 61,000 Bitcoin seized by British authorities. Justice Mark Turner rejected arguments for English law or a mix of English and Chinese law, though the decision did not settle who owns the Bitcoin. The claimants must establish property rights under Chinese law in later proceedings, and their law firm is appealing the ruling.
The dispute concerns Bitcoin linked to an alleged investment fraud run by Zhimin Qian from 2014 to 2017. British investigators seized the coins during a money-laundering probe, and their value now exceeds $5 billion, according to CoinGecko.
Justice Mark Turner held that China is the proper legal framework because the victims paid money and formed contractual ties there. The decision leaves ownership unresolved; later hearings will consider Chinese-law evidence and whether claimants can show an interest in the assets. Fieldfisher is appealing.
The ruling may shape how cross-border crypto fraud victims pursue seized digital assets, especially Chinese investors in this case. It could delay recoveries and increase legal costs while courts determine property rights under Chinese law. If English law is ultimately unavailable, claimants may be treated as creditors rather than direct owners, potentially affecting compensation levels. The outcome may also influence how authorities and litigation funders handle large seized crypto pools, though distribution remains unresolved.