Czech Bitcoin Donation Scandal: Czech Government Survives No-Confidence Vote

Controversial crypto donation triggers political backlash

The Czech government has narrowly survived a no-confidence vote after accepting a $45 million bitcoin donation from a convicted darknet operator. The issue has sparked nationwide criticism and is now widely known as the Czech bitcoin donation scandal. The donation involved 468 bitcoin and was accepted on behalf of the government by former Justice Minister Pavel Blazek. He has since resigned due to growing public pressure.

The bitcoin was sold for around 1 billion Czech koruna, which equals approximately $45 million. Critics argue that the government failed to involve law enforcement or financial regulators when accepting the crypto. This led to accusations that officials may have unknowingly helped launder digital assets tied to criminal activity.

Opposition challenges handling of bitcoin funds

The opposition party ANO, which currently leads in the polls, filed the no-confidence motion. Their main concern was the unclear origin of the bitcoin and the government’s decision to accept it without further legal review. After two days of intense debate, the ruling coalition managed to defeat the motion in the lower house. This vote secured Prime Minister Petr Fiala’s position but left his administration under increased scrutiny.

Pavel Blazek defended his actions by stating the donation represented about 30 percent of the bitcoin recovered from the donor’s devices. He claimed to have acted within the law. However, the Czech bitcoin donation scandal has already damaged the coalition’s public image just months before national elections.

Crypto policies under pressure as election nears

The timing of the scandal is critical. The Czech National Bank recently approved a study to explore whether bitcoin could serve as a reserve asset. Bank Governor Ales Michl publicly supported bitcoin’s long-term value and emphasized that it should not be grouped with other cryptocurrencies.

Public interest platforms like Polymarket now show a 92 percent chance of the ANO party winning the upcoming October election. In contrast, the ruling party’s chances stand at just 6 percent. The Czech bitcoin donation scandal continues to influence voter sentiment.

What Has Happened So Far

• March 2025: A man convicted for running Sheep Marketplace donates 468 BTC to the Czech government
• April 2025: Justice Minister Pavel Blazek accepts the donation and sells it for 1 billion Czech koruna
• May 2025: Blazek resigns as the backlash over the bitcoin donation grows
• June 2025: The ANO party files a no-confidence motion against Prime Minister Petr Fiala’s government
• June 21, 2025: The Czech government survives the vote, but the scandal weakens its position ahead of the October election