The Czech government faces a deepening crisis following Justice Minister Pavel Blažek’s resignation over a €40 million bitcoin donation linked to convicted drug trafficker Tomáš Jiřikovský, according to Euractiv.
Prime Minister Petr Fiala convened the National Security Council amid fears the state may have been exploited to launder criminal proceeds, acknowledging “publicly expressed suspicion that the state may have been misused through the justice ministry, possibly in connection with serious international crime.” Intelligence services are now investigating potential money laundering and cybercrime vulnerabilities.
Jiřikovský, imprisoned in 2017 for drug trafficking, arms offences, and embezzlement, donated 468 bitcoins (worth nearly CZK1 billion) to the Justice Ministry, which auctioned the cryptocurrency for cash.
Though Blažek insisted the transaction was “so ultra-legal that it couldn’t be more legal” and framed it as Jiřikovský’s “form of penance,” police are probing abuse of official authority and narcotics-related crimes. The High Prosecutor’s Office in Olomouc leads the investigation, examining whether the bitcoin derived from Jiřikovský’s dark web drug marketplace operations.
Meanwhile, President Petr Pavel warned the scandal risks catastrophic institutional damage.
If I had to put it in the voice of the people, I would say this is a big mess.
The controversy intensified after revelations that Blažek opened a ministerial bitcoin wallet without Prime Minister Fiala’s prior knowledge, though Fiala maintains Blažek acted “in good faith.”
Fiala appointed Civic Democratic Party MP Eva Decroix as Blažek’s successor, although political analysts note lasting damage.
