China Retains 194,000 Bitcoin from PlusToken Seizure

TLDR

• China holds approximately 194,000 Bitcoin from PlusToken scheme.
• NXTT is the largest corporate Bitcoin holder in China.
• Regulatory talks aim to clarify management of seized cryptocurrencies.

The Chinese government reportedly still possesses approximately 194,000 Bitcoin (BTC), largely sourced from assets seized during the 2019 PlusToken Ponzi scheme crackdown. Despite China’s existing ban on cryptocurrency trading, these BTC reserves maintain significant standing in the crypto community due to their sheer volume and potential impact.

Reports indicate that, aside from government holdings, several Chinese public firms have begun acquiring Bitcoin as part of their treasury strategies. This underscores a complex relationship between crypto assets and institutions in China, despite restrictive policies.

Government’s Historic Crypto Seizure

The Chinese government’s involvement in cryptocurrency dates back to when China served as a global hub for Bitcoin mining. However, regulatory bodies began cracking down with ICO bans in 2017, intensifying in 2021 when all crypto transactions were deemed illegal. Despite this, government bodies retain control over the large sum of BTC acquired from the PlusToken scheme.

Previously dubbed the world’s largest known government-held BTC cache, the seized PlusToken assets continue to be a significant topic within crypto circles. Although regulations prohibit trading, the official stance on asset liquidation remains unannounced.

Corporate Crypto Holdings in China

Despite China’s crypto trading ban, certain corporations, such as Next Technology Holding (NXTT), hold substantial Bitcoin reserves. As of September 2025, NXTT is the largest corporate holder in China with 5,833 BTC, highlighting a strategic investment approach.

Jiuzi Holdings, another key player in this landscape, has approved a framework to allocate up to $1 billion towards Bitcoin and select crypto assets. This reflects a broader institutional interest in crypto as a long-term value store amidst economic uncertainty.

“We are not engaging in short-term trading or speculation; rather, we view crypto assets as long-term stores of value to hedge against macroeconomic uncertainties,” said Dr. Doug Buerger, Chief Operating Officer of Jiuzi Holdings.

Dr. Doug Buerger, Jiuzi Holdings

Regulatory Developments and Industry Implications

In April 2025, Chinese officials and legal experts engaged in discussions on how to manage cryptocurrencies seized from criminal activities. These talks aimed at creating clearer regulations for asset management to ensure transparency and mitigate potential corruption risks.

Proposals included recognizing cryptocurrencies as assets and standardizing procedures for their disposal. However, no official announcements regarding the liquidation of the seized BTC have been made.

Despite regulatory pressures, the interest from Chinese corporates in crypto as a strategic reserve continues to demonstrate a shifting tide in the institutional approach toward digital assets.

Broader Context: China’s Impact on Crypto Markets

China’s continued holding and corporate accumulation of Bitcoin fuel speculation over potential market impacts if liquidation occurs or acquisitions increase. Despite a crypto trading ban, the involvement of Chinese entities in crypto is considerable.

Companies like NXTT and Jiuzi Holdings showcase the institutional interest and commitment to BTC. Public-company BTC holdings globally exceed 1 million BTC in combined treasuries.

As regulatory discussions continue, the oversight and management of these assets might influence market dynamics significantly, laying a complex but promising ground for future developments.