$15B in Bitcoin Seized in Crackdown on Alleged Prince Group Scam

Wired reports that a global crackdown has targeted one of the largest Bitcoin scam operations in history, the Prince Group, a Cambodian conglomerate that allegedly operates forced-labor scam compounds across Southeast Asia, the US, and the UK.

A DOJ indictment filed in Brooklyn, United States of America v. Chen Zhi, aka “Vincent”, documents illicit profits and bribes facilitated by extensive use of technology, including tens of thousands of social media accounts and mobile devices.

Laundering schemes involving mining operations are possible. Authorities froze real estate assets in London tied to the group.

The Prince Group is publicly engaged in real estate and financial services. Allegedly, it secretly managed at least ten scam centers in Cambodia. Victims who were trafficked from more than 60 countries were coerced into participating in online romance and investment frauds, often referred to by hackers as “pig butchering.”

Workers reportedly had their passports confiscated and faced threats or physical abuse if they failed to cooperate. Investigations trace the group’s operations across more than 100 businesses in 30 countries, including subsidiaries and affiliated networks in the United States.

Authorities coordinated the seizure of approximately 127,000 bitcoins, valued at around $15 billion at the time, and linked to fraudulent investment schemes run by the Prince Group. The action also includes financial sanctions against the company, its chairman Chen Zhi, and related entities.

Authorities allege Chen and his associates misused political influence to shield their enterprise from law enforcement in multiple jurisdictions. The seized bitcoins may have connections to previously reported cryptocurrency thefts.

Attorneys should note that the Eastern District of New York case referenced above signals heightened scrutiny of complex crypto-related investment scams. Investigators used legal mechanisms to trace and recover illicit assets globally. Their effort is an instance of strategic targeting of the financial and operational infrastructure underpinning large-scale cybercrime.