Rachel Reeves is on a £ 5 billion windfall in Bitcoin that was confiscated by organized criminals and that can now be used to close the huge black hole in her budget.
The Mail On Sunday has learned that the government has gathered an amazing stock of crypto currency after an investigation into money laundering to a Chinese fraud led to one of the world's largest seizures ever.
The seized Bitcoin, with an estimated value of £ 5.2 billion, was described last night as a 'free from prison' card for the controversial Chancellor, amidst the fear that Great Britain will be confronted with a 'Economic doom run'.
It is crucial that the amount is worth more than the amount of money that will be collected annually due to the enormous controversial reduction of winter fuel payments, the VAT attack on private school fees and the hated family tax on farms together.
City experts and politicians said last night that the confiscated Bitcoin the Federal Chancellor provided for a financial rescue line and insisted on selling it.
They emphasized how Germany has already used Cryptocurrency of criminals to stimulate his finances.
Former Tory Chancellor Norman Lamont said: 'I think Reeves should spend it right away and not stick to it. Otherwise it seems that the government legitimizes crypto – which has no intrinsic value. It would also help with public finances. “
The former Tory minister Sir Jacob Rees-Mogg said: 'If this money ends up in the treasury, Rachel Reeves must use it as quickly as possible. The tax increases of the Chancellor were never justified at all. “
Jian Wen, 42, came to the attention of the police when she tried to buy some of the most expensive property in London
After an operation of three years, the National Crime Agency also successfully dismantled the criminal company of Ekaterina Zhdanova – called the 'Cash for Crypto Queen'.
It is believed that the crypto currency is on accounts that are checked by the government after it was seized from online wallets managed by the former Chinese collection employee Jian Wen (Stock image)
Chris Etherington, partner and crypto expert at RSM accountancy firm, said: 'There are strong arguments to sell the Bitcoin immediately. The coin is too volatile, too speculative.
'Rachel Reeves will look at it in view of the political pressure on which she is waiting for the predictions of the Office for Budget Responsibility. Germany collected last year. Let's face it: it's a free card for her to get out of prison. “
It is assumed that the crypto currency is on accounts that are checked by the government after it was seized from online wallets managed by the former Chinese collection employee Jian Wen, who was sentenced to six years last year for money laundering.
Wen, 42, came to the attention of the police when she tried to buy some of the most expensive property of London, including a man's house with seven bedrooms of £ 23.5 million and a swimming pool in Hampstead, North London, and a house of £ 12.5 million with a cinema. And fitness room.
Last year she had only earned £ 6,000 as a collection employee in Leeds.
The research led to the largest seizure of cryptocurrency ever in Great Britain, when more than 61,000 bitcoins were discovered in digital wallets.
The revenue was worth £ 1.4 billion at the time, but is now estimated at around £ 5.2 billion.
It came from an investment scam that was carried out in China between 2014 and 2017 and the alleged master brain Yadi Zhang will be in London in September. She denies the accusations.
Rachel Reeves is confronted with an estimated gap of an estimated £ 20 billion in public finances as a result of the faltering economy and the government financing costs
Tory-by-off minister Sir Jacob Rees-Mogg said: “If this money ends up in the treasury, Rachel Reeves must make use of it as quickly as possible '
The Crown Prosecution Service has asked the Supreme Court for permission to maintain the confiscated bitcoin and if it – as expected – gives this permission, that money will flow to the treasury of the Ministry of Finance.
New legislation that was introduced in 2023 states that seized crypto currency are sold and that the proceeds are transferred to the consolidated fund of the government, the current account at the Bank of England.
Quentin Hunt, lawyer at 2BR Chambers, explained: 'It [forfeited crypto-currency] is refunded in the state treasury to the consolidated fund, where all the money goes that is actually seized. That money is managed by the Ministry of Finance – it actually flows back to the state treasury. “
Reeves is confronted with an estimated £ 20 billion in public finances as a result of the faltering economy and the government financing costs.
Based on the current price of Bitcoin, the revenues could be more than the £ 1.7 billion of the Chancellor in private school fees, the £ 520 million inheritance taxes for farmers and £ 1.5 billion to be collected by reducing the winter fuel surcharge .
Last year, the German government sold 50,000 bitcoins that she had confiscated from the defeated piracy site Movie2 for £ 2.3 billion.
Bitcoin has more than doubled in value in the past year, whereby the most recent increase is attributed to the return of Donald Trump. In contrast to his predecessors, Trump is in favor of crypto currency. As a result, market observers think that the price can even rise even higher.
Experts told the Chancellor last night that she needed expert advice on when she had to sell to reach the best deal for the taxpayer.
How the British FBI picked up the queens of Crypto
By Mark Shapland
The Chancellor owes her extraordinary happiness to a former Chinese collection employee named Jian Wen, who was sentenced to six years in prison last year for money laundering.
But bringing her to the court-and increasing the state treasury-is not the only success of the British police in stopping Bitcoin money laundering operations.
Wen flew throughout Europe, also to Germany. She denied that she was involved in money laundering and said that she had lied to her
Wen lived in a basement room under a Chinese take -away restaurant in Abbey Wood, in the southeast of London. But within a few weeks she moved to this fantastic house with six bedrooms in Hampstead Heath and paid £ 17,000 per month in September 2017.
Wen tried to buy a Hampstead-Herenhuis of £ 23 million (photo)-so that the alarm bells started ringing over the source of the fund
After an operation of three years, the National Crime Agency also successfully dismantled the criminal company of Ekaterina Zhdanova – called the 'Cash for Crypto Queen'.
Wen's story is a daring story from rags to wealth. She was 42, lived in Leeds in 2016 and had an income of only £ 5,979. But then she responded to an advertisement on the Chinese social media app in which she was a 'butler' for a woman who claimed to run a company that traded all over the world in diamonds and antiques.
In 2017 she worked for Yadi Zhang, reportedly as her caregiver, and changed her life.
Zhang is accused of having stolen billions of 128,000 investors in China and converting the money into Bitcoin. Zhang denies all accusations.
It is claimed that Gen has helped with money laundering in cash, jewelry and other luxury items, as well as property. She started an extravagant life and moved to a country house in Hampstead.
But it all started to unravel when she tried to buy a £ 12.5 million building in London. The Metropolitan Police raided its country house and seized devices that contain 61,000 bitcoins.
In the meantime, the police have seized more than £ 20 million in cash and Bitcoin during their actions against two Russian money laundering operations. One of them was run by Zhdanova, born in Siberia, 38, who reportedly received a commission of three percent on transactions worth billions through its smart network.
Among its customers, it was said that there was a Ransomware group that was responsible for extorting at least £ 27 million of 149 British victims, including hospitals and schools. She is currently in custody in France awaiting her process.
