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In a surprising development, Czech Justice Minister Pavel Blažek stepped down on May 30, 2025, after facing heavy backlash over a $45 million Bitcoin donation linked to a convicted criminal. The scandal has rocked the Czech Republic, raising questions about ethics, transparency, and the intersection of cryptocurrency in politics.
The controversy centers around 480 Bitcoins, valued at approximately 1 billion Czech koruna (around $45 million or €40 million), which Blažek’s ministry accepted as a donation from Tomáš Jiřikovský. Jiřikovský, a notorious figure, was convicted in 2017 for running Sheep Marketplace, a dark web platform involved in drug trafficking, money laundering, and illegal weapons possession. The donation, which the ministry later sold, sparked outrage when local media outlet Denik N exposed its origins, leading to accusations of potential money laundering.
Blažek initially defended the transaction, claiming it was a form of penance and that the funds were intended to support crime victims and improve prison facilities. However, opposition parties, particularly the ANO (YES) party led by Andrej Babiš, seized the opportunity to criticize the government ahead of the upcoming October 2025 parliamentary election. They demanded clarity on the donation’s source and the ministry’s decision to accept it.
Amid mounting pressure and an investigation by the Czech police’s organized crime unit, Blažek stepped down. In a statement on May 30, he said, “I am not aware of any illegal actions. However, I do not want to damage the government’s or the governing coalition’s reputation.” Prime Minister Petr Fiala accepted the resignation, calling it a responsible move while maintaining that Blažek had acted in good faith. The funds from the Bitcoin sale are now under scrutiny, with the prime minister’s office stating they will await the police inquiry’s outcome before deciding how to allocate the proceeds.
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The incident has also drawn attention to the growing role of cryptocurrency in political and criminal spheres. Bitcoin, often praised for its decentralized nature, has been a double-edged sword, enabling both innovation and illicit activities. This scandal highlights the challenges governments face in handling such assets, especially when tied to criminal figures.
Here’s the tweet that broke the news, shared by Cryptocurrency Inside on X:
As the investigation unfolds, this scandal could have far-reaching implications for the Czech government, especially with elections on the horizon. It serves as a stark reminder of the ethical dilemmas surrounding cryptocurrency in public office and the need for stricter regulations.
FAQs
Why did the Czech Justice Minister resign?
Pavel Blažek resigned after his ministry accepted and sold a $45 million Bitcoin donation from Tomáš Jiřikovský, a convicted criminal, prompting accusations of unethical conduct and potential money laundering.
Who donated the Bitcoin to the Czech Justice Ministry?
The Bitcoin was donated by Tomáš Jiřikovský, who was convicted in 2017 for running Sheep Marketplace, a dark web platform involved in drug trafficking and money laundering.
What will happen to the $45 million from the Bitcoin sale?
The funds are under investigation, and the Czech government will decide how to allocate them after the police inquiry concludes.
How has this scandal impacted Czech politics?
The scandal has intensified scrutiny on Prime Minister Petr Fiala’s coalition government, especially with the October 2025 parliamentary election approaching, giving opposition parties leverage to criticize the administration.