Jun 4, 2025

Czech Government Faces No-Confidence Vote Over Bitcoin Scandal

A controversial Bitcoin donation linked to a convicted dark web operator has thrown the Czech government into political crisis, triggering the resignation of a senior cabinet official and prompting a no-confidence motion.

Justice Minister Pavel Blažek resigned on Friday following mounting backlash over his ministry’s decision to accept and liquidate 468 Bitcoins—worth over $45 million—donated earlier this year by Tomáš Jiříkovský, a convicted operator of Sheep Marketplace, a dark web platform once associated with large-scale drug trafficking.

While Blažek maintained the transaction was legally sound, his resignation has done little to defuse the growing storm. The populist opposition party ANO, led by former Prime Minister Andrej Babiš, officially called for a no-confidence vote against Prime Minister Petr Fiala on Tuesday. ANO’s deputy leader Karel Havlíček accused the administration of betraying public trust, insisting the government should have resigned immediately upon learning of the donation’s origin.

Prime Minister Petr Fiala and Justice Minister Pavel Blažek: Source

Despite the public pressure, the government has yet to issue a formal explanation or provide details on how the donation was vetted—leaving citizens and lawmakers questioning the ethical and regulatory processes around crypto contributions.

Bitcoin’s Dark Web Origins Haunt Czech Officials

The roots of the scandal lie in Bitcoin’s murky past—specifically its role in dark web marketplaces. Jiříkovský was arrested in 2016 and convicted in 2017 for operating Sheep Marketplace, which collapsed after an internal theft in 2013 involving over 5,000 BTC.

Following his release in 2021, Jiříkovský reportedly sought to reclaim 1,500 BTC, some of which, according to an investigation by Czech outlet Deník N, were transferred to the government—raising serious questions about whether any proper due diligence was conducted prior to the coins’ sale.

Just before resigning, Blažek defended the ministry’s actions, saying he had no interest in revisiting a case from years prior. “It’s not my role to investigate where the donation came from,” he stated.

Further complicating the issue is speculation that the donated Bitcoin could be tied to other dark web marketplaces, including the recently dismantled Nucleus Market. While no official links have been established, blockchain activity connected to Nucleus-associated wallets, including a $77 million transfer in March 2025, has intensified scrutiny.

According to Arkham Intelligence, a blockchain analytics firm, a primary wallet linked to Nucleus still holds over $400 million in Bitcoin—suggesting that a significant portion of illicit dark web assets remains in circulation.

Government Majority at Risk as Scandal Deepens

Blažek’s departure is a significant blow to Prime Minister Fiala’s Together (SPOLU) coalition, already struggling to maintain its political footing ahead of the upcoming October elections. Polls show SPOLU’s support slipping to just 19%, while the opposition ANO has surged ahead with 32%.

Blažek, a senior figure in Fiala’s Civic Democratic Party (ODS), was considered a close ally of the prime minister. His resignation has sparked new questions about whether Fiala had prior knowledge of the Bitcoin donation and whether more resignations could follow.

Speaking to Radio Prague, political analyst Jiří Pehe noted, “Many voters will assume that Fiala, given his proximity to Blažek, had at least some awareness of the donation’s origins.”

With ANO already organizing a no-confidence motion and public trust rapidly eroding, the scandal threatens to unravel the ruling coalition’s majority and reshape the Czech political landscape just months before national elections.

Quick Facts

  • The Czech Ministry of Justice accepted and sold 468 BTC donated by a convicted dark web operator, valued at over $45 million.
  • Justice Minister Pavel Blažek resigned amid the scandal, but denies any legal wrongdoing.
  • The opposition ANO party has called for a no-confidence vote against Prime Minister Petr Fiala’s government.
  • Blockchain experts have linked the scandal to possible leftover funds from dark web markets like Nucleus, still holding over $400 million in BTC.
  • Polls show SPOLU trailing the ANO party ahead of the October 2025 elections.

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