In a fresh wave of cyber-related tensions, China’s Cybersecurity Emergency Response Center (CVERC) has publicly alleged possible U.S. involvement in the infamous 2020 LuBian exchange hack. The claims come after the U.S. Department of Justice (DOJ) filed its largest-ever crypto forfeiture involving 127,000 Bitcoin (BTC), linked to the breach.
LuBian, a lesser-known but operational crypto exchange, was compromised in 2020, resulting in the disappearance of large volumes of Bitcoin. Until recently, few details were made public — but the DOJ’s recent announcement that it has secured 127K BTC connected to the case has reignited scrutiny.
The Seized Bitcoin and China’s Concerns
The DOJ’s October filing revealed that U.S. authorities had quietly seized 127,000 BTC — worth over $8 billion at current prices — making it the biggest crypto seizure in history. But China’s CVERC has now raised key questions: How did the U.S. identify, trace, and ultimately access those funds? Was there international cooperation, or did U.S. agencies exploit hidden backdoors?
CVERC hints at the possibility that U.S. cyber-intelligence capabilities may have played a deeper role in both investigating — and possibly even accessing — infrastructure tied to the original hack. While no formal accusations have been made, the allegations underscore growing suspicion between two superpowers when it comes to cybercrime and crypto control.
Global Implications and Ongoing Uncertainty
The case highlights how complex international crypto investigations have become. While the DOJ touts the seizure as a win for financial security and crime prevention, the lack of transparency around how the BTC was recovered fuels speculation.
China’s concerns may also reflect its broader unease about U.S. dominance in digital forensics and cryptocurrency enforcement. As both nations tighten regulations and enhance surveillance of blockchain networks, questions around sovereignty, access, and transparency are only likely to grow.
With no clear answers from either side, the LuBian case remains a focal point in the ongoing geopolitical chess match over control of digital assets.