Czech Justice Minister Resigns After $45M Bitcoin Windfall from Darknet Felon

Another politician learns the hard way that crypto gifts come with strings—and subpoenas attached.

When your benefactor’s resume includes ’darknet entrepreneur’ and ’ex-convict,’ maybe don’t list that $45M BTC surprise on your ethics disclosure form.

Bonus jab: At least he didn’t lose it all trading meme coins like a certain hedge fund we won’t name.

Blažek defends Bitcoin donations

Despite his decision to resign, Blažek has defended the ministry’s acceptance of the funds, noting that it was fully legal and would go towards improving the justice system.

He highlighted several ways the ministry would use donations, including digitizing the justice system, improving housing conditions for prison staff, and helping fight drugs. According to him, Jiřikovský likely donated the funds to show remorse.

He is reported to have said:

“Why should a convicted person not be allowed to give something to the state, for example, as a FORM of penance?”

Unsurprisingly, Prime Minister Fiala said that he believed the Justice Minister had acted in good faith and praised his decision to resign.

However, many suggest there might be more to the donation than Blažek claims. According to reports, Jiřikovský has been trying to recover the Bitcoins the government seized from him upon his arrest.

Although he claimed that he had obtained them legally, which entitles him to keep them, investigations at the time suggested they might be connected to another darknet marketplace, Nucleus. Nucleus shut down the day Jiřikovský was arrested.

Czech authorities are investigating the donation

Interestingly, Jiřikovský’s lawyer had reached out to Blažek to negotiate the return of the seized assets with an agreement that one-third of the funds would be donated to the ministry. The minister reportedly agreed.

This eventually led to the signing of an agreement and the movement of Bitcoin, which was connected to Nucleus, to another wallet in March after being dormant for almost 10 years. While Blažek insisted that he had no interest in the case, which happened long ago, the circumstances around the incident continue to raise eyebrows.

Meanwhile, Czech legal authorities are investigating the Bitcoin donation to determine the source of the funds. Given Jiřikovský’s past, there are concerns that the funds might be part of money laundering from criminal activity.

According to reports, the National Headquarters for Combating Organization is investigating the incident, while the Public Prosecutor Office for Olomouc is separately probing whether the minister, as a public official, exceeded his powers.

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