Another China Bitcoin-Related Arrest Made In US
A new arrest over a Bitcoin-related transaction that involves China has again proven that the digital currency will not help criminals to stay anonymous.
The latest arrest, which involves a US man who illegally imported the deadly drug fentanyl from China using Bitcoin, comes barely two months after an under 16-year old male teenager breached a Chinese government website – the Jieyang Airport Economic Zone website – and later tried to obtain bitcoin payment before he was arrested.
This follows the arrests of 21 Chinese executives over $7.6 billion Ponzi scam in an online peer-to-peer (P2P) lending scheme called Ezubao that defrauded some 900,000 people out of more than 50 billion yuan.
Daniel Stolte is charged with one count of possession with the intent to distribute fentanyl and one count of importing fentanyl by a U.S. District Court on Tuesday. Court documents say Stolte imported 100 grams of fentanyl from Hong Kong last month which was intercepted by federal agents and led to his arrest.
After agents raided his home, Stolte told them he had ordered fentanyl, the synthetic opioid that is 50 to 100 times more potent than morphine, online for $800 which he paid for with Bitcoin.
Though agents suggest there are evidence that the accused is running a trafficking operation, according to court papers, Stolte denies selling the drug but was for personal use. He remains in federal custody and has yet to enter a plea to the indictment which could carry a mandatory minimum sentence of 10 years in prison.