Qian Zhimin Case First Hearing of the New Year: 60,000 Bitcoins at Stake as Battle and Crypto Market Turmoil Intertwine

The New Year’s first hearing at the High Court of London once again brought the ownership of 60,000 Bitcoins to the forefront. The UK prosecution insists on its proposal made on October 15, 2025, to reserve certain assets for the overall compensation arrangement for Chinese victims, believing this to be the most effective practical solution.

Meanwhile, the global cryptocurrency market is experiencing intense turbulence. Bitcoin prices fell below $88,000 on January 26, reaching a low of $87,790. In just 48 hours, market liquidations totaled $1.8 billion, with 93% of that being long positions.

01 Program Disputes and Asset Mysteries

In the UK, the Qian Zhimin case actually involves two separate legal procedures: a criminal case that concluded in November 2025, and an ongoing civil recovery process.

The first hearing of the new year on January 25 was a typical procedural hearing, focusing on “who will represent the broad Chinese victims.” Judge Turner, overseeing the case, explicitly expressed concern about the current “over-proxying” situation.

The UK High Court faces a practical dilemma: an increasing number of law firms are representing different groups of Chinese victims, making court coordination extremely complex. This situation directly impacts the progress of the final disposal plan for the 60,000 Bitcoins.

02 Civil Recovery and Compensation Plan

The UK prosecution initiated a civil recovery procedure under Part V of the Proceeds of Crime Act 2002, aiming to permanently recover illegal proceeds. Under this framework, the only remedy for Chinese victims is to assert their rights under Section 281 of the Act.

On October 15, 2025, the UK prosecution proposed an innovative solution: reserving a certain amount of assets for overall compensation for the numerous Chinese victims.

Once this plan is approved by the court and the asset reserve is set aside, law enforcement agencies from China and the UK can cooperate to transfer the assets to China for implementing specific victim compensation plans.

However, under this approach, Chinese victims’ hopes of obtaining “satisfactory” high compensation through years of Bitcoin price appreciation are unrealistic. The compensation boundary proposed most likely only covers actual losses that victims have registered and confirmed with Chinese police.

03 Market Fluctuations and Asset Value

During the hearing, the global cryptocurrency market experienced intense volatility. Bitcoin dropped to $87,790 on January 26, setting a new low since December 31, 2025.

This market change directly affected the value of the involved Bitcoin assets. Historically, Qian Zhimin’s initial purchase of Bitcoin was at an extremely low average cost, just over 300 GBP per coin. Even after the decline, Bitcoin prices remain well above the purchase cost.

It is noteworthy that the market’s sharp fluctuations are driven by multiple macroeconomic pressures. Trump’s tariff threats and turmoil in the Japanese bond market have jointly triggered a wave of “selling U.S. assets.”

The yield on Japan’s 10-year government bonds soared by 19 basis points in two days. Such a “Six Sigma” event is extremely rare in financial markets, with a probability of about one in a billion.

04 Cross-border Cooperation and Asset Return

The handling of the Qian Zhimin case has become a model of international judicial cooperation. Close coordination between Chinese and UK law enforcement agencies in evidence exchange and intelligence sharing was key to ultimately securing Qian Zhimin’s guilty plea.

On October 30, 2025, the Blue Sky Grey case clearance team in Tianjin Hedong District issued an announcement, calling on prior unregistered or unconfirmed investors to register and verify within two months.

This move provides an important data basis for the UK court to determine the specific amount of compensation assets to be reserved. In theory, once the UK court rules on the reserved amount, the Chinese and UK authorities can coordinate to handle the transfer, ultimately using the funds as restitution to victims.

05 Upcoming Key Dates

According to the hearing schedule, the next session is set for February 16-17, where further arrangements or guidance regarding the impact of the bankruptcy liquidation process on the civil recovery case may be provided.

Meanwhile, another key individual involved faces pressure for asset return. Money laundering suspect Sen Hok Ling, who provided funds to Qian Zhimin, has been ordered to pay over $7.6 million within three months, or face re-imprisonment and an additional 8-year sentence.

In Hong Kong judicial practice, the Gatecoin Limited case established the legal status of cryptocurrencies as “property.” This precedent is significant for clarifying how cryptocurrencies are handled in bankruptcy liquidation.

Globally, regulatory environments are also evolving. In 2025, the U.S. passed two key laws—the Stablecoin Act and the Crypto Asset Market Structure Act—providing clearer compliance pathways for the industry.

Future Outlook

As Bitcoin prices on Gate show $87,790, the involved assets that once approached $98,000 have significantly depreciated. The UK High Court judges are reviewing documents from lawyers representing different Chinese victim groups, with the next hearing scheduled for February 16-17.

Meanwhile, the global cryptocurrency market continues to digest the dual shocks from Japan’s “Six Sigma” volatility and Trump’s tariff threats. Market liquidation data reveal a harsh reality: over $1.8 billion in long positions were liquidated within 48 hours, mostly involving leveraged traders.

This case is not only a cross-border asset dispute but also a window into how cryptocurrencies are positioned within traditional legal frameworks.