US Seizes Record $15 Billion in Bitcoin From Global 'Pig Butchering' Scheme Linked to Chen Zhi

By

Bitcoin
Gold round Bitcoin coin on top of a cellphone. Kaboompics.com / Pexels

The US Department of Justice has seized $15 billion worth of bitcoin from a massive "pig butchering" scam, marking the largest cryptocurrency forfeiture action in American history.

The crackdown targets Chen Zhi, also known as "Vincent," who allegedly led the Prince Holding Group, a criminal network operating from Cambodia, CNBC said.

Chen Zhi, a 38-year-old Chinese-born businessman, remains at large and faces charges including wire fraud conspiracy and money laundering conspiracy.

Prosecutors say Zhi ran one of Asia's largest transnational criminal organizations, with scam compounds across Cambodia where trafficked workers were forced to carry out elaborate cryptocurrency investment scams.

"These scams stole billions of dollars from victims worldwide," said Joseph Nocella Jr., US Attorney for the Eastern District of New York. "Prince Group's operations caused untold misery on the backs of individuals forced to work against their will."

The scheme, known as "pig butchering" or "Sha Zhu Pan," lures victims through fake romantic relationships or promises of high investment returns.

Victims are persuaded to send cryptocurrency to wallets controlled by the scammers, only to lose their money.

Prince Group Used 76,000 Fake Accounts

Court documents reveal that Prince Group's scam compounds used thousands of mobile phones to run over 76,000 fake social media accounts.

These accounts were used to build trust with victims before stealing their funds. According to FoxBusiness, prosecutors estimate the scheme generated up to $30 million daily at its peak.

Zhi's organization also reportedly used violence and threats to control workers trapped in these compounds. Images included in the case file show workers beaten and forced to engage in fraudulent activities.

The Treasury Department has designated Prince Group as a transnational criminal organization and imposed sanctions on Zhi and more than 100 associates.

FBI Director Kash Patel praised the effort, calling it "one of the largest financial fraud takedowns in history."

According to prosecutors, the group also used political influence and bribery to evade law enforcement actions in multiple countries.

The bitcoin seized—127,271 coins—were held in "unhosted" digital wallets, allowing Zhi's network to control the funds without intermediaries.

Chen Zhi faces up to 40 years in prison if convicted. Meanwhile, authorities continue to hunt for him as they work to dismantle the criminal network and prevent further victimization.

Tags
Bitcoin

© 2025 VCPOST.com All rights reserved. Do not reproduce without permission.

Join the Conversation