In a record-breaking move, the U.S. Department of Justice has seized $15 billion worth of bitcoin from a sprawling cryptocurrency fraud operation based in Cambodia. The scheme, known as a “pig butchering” scam, allegedly preyed on thousands of victims worldwide through social media manipulation and false investment promises.

 

At the centre of the indictment is Chen Zhi, a 38-year-old Chinese-born businessman also known as “Vincent,” who remains at large. Prosecutors say Zhi masterminded the scam as chairman of Prince Holding Group, a conglomerate with operations in over 30 countries. According to court filings, the group secretly evolved into one of Asia’s largest transnational criminal organisations.

 

The term “pig butchering” refers to a method of online fraud where victims are “fattened up” through prolonged trust-building before being defrauded. In this case, victims were lured into transferring cryptocurrency to accounts controlled by the syndicate, believing they were making legitimate investments. Instead, the funds were siphoned off and laundered.

 

The Prince Group allegedly operated at least ten scam compounds in Cambodia, where trafficked individuals were forced to work under threat of violence. Two facilities alone reportedly housed 1,250 mobile phones managing 76,000 fake social media accounts used to target victims.

 

Brooklyn U.S. Attorney Joseph Nocella described the operation as “one of the largest investment frauds in history,” noting its devastating human cost. “These scams caused billions in losses and untold misery, built on the backs of trafficked workers,” he said.

 

In a coordinated move, the U.S. Treasury designated Prince Group a transnational criminal organisation and imposed sanctions on Zhi and over 100 associates. Prosecutors allege the group used political influence and bribery to shield its activities from law enforcement across multiple jurisdictions.

 

Zhi faces up to 40 years in prison if convicted of wire fraud and money laundering conspiracy. The case marks the largest cryptocurrency forfeiture ever pursued by the DOJ, underscoring growing international concern over tech-enabled financial crime and human trafficking.

 

 

-2025-10-15

On 10/15/2025 at 9:34 AM, geovalin said:

has seized $15 billion worth of bitcoin

Can someone more knowledgeable explain how the DOJ were able to actually do this considering the original sums were laundered?