A London resident reportedly caught with bitcoins worth over $4.3 billion has been convicted for entering into a money laundering arrangement. The woman specialized in converting digital assets into physical assets, such as multimillion-dollar houses and jewelry.
Converting Bitcoin to Physical Assets
A British woman, found in possession of bitcoins currently valued at over $4.3 billion (£3.4 billion), has been convicted of “entering into a money laundering arrangement.” According to a report, Jian Wen, a resident of London, specialized in converting digital assets into physical assets, such as multimillion-dollar houses and jewelry.
To avoid arousing suspicion, Wen, who previously worked in a takeout restaurant, reportedly posed as an employee of a jewelry company. Despite this, Wen still failed to pass money laundering checks when she attempted to purchase several expensive houses in London. Similarly, her attempts to link the millions of dollars she had to bitcoin mining activities were unsuccessful.
However, the woman was still able to purchase jewelry worth tens of thousands of dollars in Switzerland and properties in Dubai in 2019. Wen now awaits sentencing, which is set for May 10.
Remarking on the five-year investigation that eventually led to Wen’s arrest and the seizure of the bitcoins, Jason Prins of the London Metropolitan Police said:
“This verdict and lengthy five-year investigation demonstrates that we’ll leave no stone unturned in our pursuit to catch criminals who look to enjoy the proceeds of illicit funds – no matter how complex the case.”
Criminals Show Increased Preference for Cryptocurrencies
According to the report, the London police’s investigation involved law enforcement agents searching several addresses and reviewing about 48 electronic devices. They also sifted through files translated from Mandarin Chinese.
A British Broadcasting Corp. (BBC) report revealed that the High Court granted the Crown Prosecution Service (CPS) a freezing order. The order allows the CPS to conduct what is known as a recovery investigation, which may lead to the forfeiture of the bitcoins.
Meanwhile, Andrew Penhale, the CPS’s chief crown prosecutor, said Wen’s arrest proves that cryptocurrency is increasingly becoming the preferred medium of exchange for criminals.
“Cryptocurrencies are increasingly being used by organized criminals to disguise and transfer assets, allowing fraudsters to enjoy the benefits of their criminal conduct,” Penhale said.