The UK government now holds 61,245 Bitcoins worth roughly $7.2 billion after its largest-ever cryptocurrency seizure. Authorities confiscated the digital assets from convicted money launderer Jian Wen, whose scheme funneled profits from a massive $6.3 billion fraud in China. The haul positions Britain among the world's top state Bitcoin holders, though still far behind the United States, which controls nearly 198,000 BTC according to public records.
Also Read: World Governments Now Hold 517,296 Bitcoin Worth $61 Billion. A complete breakdown of state-held crypto reserves.
As the Crown Prosecution Service finalizes civil recovery proceedings to transfer the assets to Treasury control, Whitehall remains divided on their fate. Chancellor Rachel Reeves confronts mounting pressure to liquidate the holdings amid a £20 billion budget deficit, with proceeds potentially funding public services or debt reduction. Accounting giant RSM publicly advocates immediate sale, citing Bitcoin’s notorious volatility. "This currency remains too speculative for state reserves," warned their July market advisory.
Yet dissenting voices urge caution. Market analysts note the UK’s 61,245 BTC represents 0.29% of Bitcoin’s total supply. a position substantial enough to trigger price turbulence if dumped hastily. Bitcoin Policy UK cautioned that rapid selling could disadvantage retail investors while forfeiting potential upside. The dilemma echoes Germany’s 2024 move to sell 50,000 Bitcoins, a decision that backfired when prices subsequently rallied.
Unlike the United States, which holds 198,012 BTC as strategic reserves, Britain explicitly rejects treating Bitcoin as a sovereign asset. Treasury officials emphasize concerns over its "historical volatility" and misalignment with traditional reserves like gold. The stance persists despite UK crypto ownership surging to 24% of adults this year – the fastest adoption rate globally.
Globally, Britain now ranks as the third largest governmental Bitcoin holder after the China & United States. The windfall arrives as Parliament advances the landmark Property (Digital Assets) Bill, formalizing crypto’s legal status ahead of comprehensive 2026 regulations.
Chinese fraud victims may claim compensation from the seized assets, potentially diminishing Treasury returns. Chancellor Reeves also faces political ghosts: critics invoke former PM Gordon Brown’s controversial gold sales, which cost Britain billions in lost appreciation.
Real-time tracking of the holdings remains accessible via Arkham Intelligence.
US Government now holds around 198,000 BTC - Read more