In a case heard in the UK Supreme Court, it was alleged that $172 million worth of Bitcoin changed hands between a couple who were about to divorce. Ping Fai Yuen, who lives in the United Kingdom, claims that his digital assets were transferred by his wife without permission and that this process was carried out using secret tracking methods.
Bitcoin Transfer and Evidence Collection Process
According to court documents, Yuen held 2,323 Bitcoins in his hardware wallet in 2023. On August 2, 2023, all of these assets were transferred to other addresses without his knowledge. It was later determined that the balance was divided into 71 different addresses and these were not moved until the end of the year.
According to Yuen’s claim, his wife, Fun Yung Li, obtained access to the assets by obtaining the recovery statement of his wallet. Relevant documents stated that Li carried out this process by secretly recording at home and that his sister Lai Yung Li also assisted in these activities.
Yuen stated that in July 2023, his daughter warned him that his mother was trying to access his Bitcoins. Thereupon, he set up sound recording equipment at home. It was stated in the court records that these records were presented as evidence and that Li made the transfer in a conversation.
Court Decision and Police Investigation Steps
It was also emphasized in the documents that Li’s conversations about where he kept his wallet information and camera placement were recorded. It was stated that Yuen, who was aware of the transfer, blamed Li and attacked Li in the argument that ensued, and Yuen was detained for this reason and pleaded guilty to assault.
The police detained Fun Yung Li in 2023 in connection with the alleged theft and seized 10 cold wallets, including Yuen’s accounts, during the search of the house. Since no new evidence was presented against Li after the interrogation, judicial proceedings were not initiated.
In November 2025, Yuen requested the court to determine that his own Bitcoin assets belonged to him and to prevent loss of rights by freezing Li’s crypto assets. He also filed a lawsuit demanding the return of the assets or the payment of British pounds in return.
Judge’s Evaluation and Legal Status of Bitcoin
Judge Cotter, who reviewed the case in March 2026, stated that the evidence presented by Yuen was strong and his chances of success appeared high. Cotter drew attention to the warning given by his daughter, the voice recordings and the detection of equipment that provided wallet access. The judge stated that the simplest and most plausible explanation for the incident was that the Bitcoins were taken by Li, consistent with the evidence.
“The evidence was evaluated as showing that he tried to stop the first defendant, the transcripts were quite overwhelming, and the events described overlapped with the current findings.”
Judge Cotter also stated that delaying the case due to the volatility in the value of Bitcoin could create additional risks for the parties. It is stated that this case may set a precedent in terms of how British courts will interpret ownership and return claims regarding digital assets.
