China accuses US of orchestrating $13 billion Bitcoin theft

Investing.com -- China’s cybersecurity agency has accused the American government of stealing approximately $13 billion worth of Bitcoin in what represents China’s latest attempt to attribute major cyberattacks to the United States.

The accusation concerns the theft of 127,272 Bitcoin tokens from the LuBian Bitcoin mining pool in December 2020, one of the largest cryptocurrency heists in history. According to the Chinese National Computer Virus Emergency Response Center, the hack was likely a "state-level hacker operation" led by the US.

In a report published last week, Chinese authorities claimed that the quiet and delayed movement of the stolen Bitcoin fits a government-level action rather than typical criminal behavior. The report connects the stolen Bitcoin from LuBian, which was once one of the largest Bitcoin mining operations globally, with tokens that were confiscated by the US government.

The US government has stated that these confiscated tokens are associated with Chen Zhi, the chairman of Cambodian conglomerate Prince Group.

"The US government may have already used hacking techniques as early as 2020 to steal the 127,000 Bitcoins held by Chen Zhi," the report stated. "This is a classic ’black eats black’ operation orchestrated by a state-level hacking organization."

The Department of Justice filed a civil forfeiture complaint seizing the 127,271 Bitcoin, making it the largest forfeiture action by the US. Federal prosecutors involved in the Chen case have declined to comment on how they obtained control of the Bitcoin.

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