Despite China's clampdown on mining — and restrictions on the use of cryptocurrency — the fact that these intelligence officers allegedly used BTC is an interesting development.
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Two Chinese intelligence officers have been accused of attempting to bribe a U.S. government employee with a Bitcoin payment.
According to the U.S. Justice Department, Dong He and Zheng Wang were trying to steal files and other information that was related to an ongoing criminal investigation into a "global telecommunications company."
In a statement, American officials said $41,000 in BTC was paid to a U.S. government worker who the defendants believed had been recruited to work for the People's Republic of China. They were in fact a double agent working on behalf of the FBI.
The double agent was asked to find out which of the company's employees had been interviewed by the government — and obtain "a description of the prosecutors' evidence, witness list and trial strategy."
They later sent a document that was marked "SECRET" that apparently revealed part of the government strategy — including plans to charge and arrest two people living in China.
Dong He allegedly replied that this was "exactly what I am waiting for" — and from here, the crypto transaction was made.
If convicted, Zheng Wang faces up to 20 years in prison for attempting to obstruct a criminal prosecution. Dong He would face a 40-year sentence as he has also been charged with money laundering, and this relates to the alleged Bitcoin bribe that was paid.
Despite China's clampdown on mining — and restrictions on the use of cryptocurrency — the fact that these intelligence officers allegedly used BTC is an interesting development.