The U.S. Department of Justice has seized over 127,000 bitcoins linked to an international fraud and forced-labor network in Cambodia. The case, considered the largest cryptocurrency seizure in history, could redefine global regulation and oversight of digital assets.
In an unprecedented operation, the U.S. Department of Justice (DOJ) has confiscated 127,271 bitcoins (valued at approximately $15 billion) connected to a vast “pig butchering” criminal network. According to authorities, the scheme combined romance and investment scams in cryptocurrency with forced labor in compounds located in Cambodia.
The main suspect, Chen Zhi, chairman of Prince Holding Group, faces charges of wire fraud conspiracy and money laundering. Investigations revealed that his network used shell companies in more than thirty countries, disguising illicit financial activity through legitimate-looking ventures in real estate and financial services. Although Chen Zhi remains at large, the United States and the United Kingdom have coordinated sanctions, freezing high-value assets including luxury properties and artworks.
The scam operated with surgical precision: fraudsters lured victims through social media and dating apps, building emotional trust before convincing them to invest in fraudulent crypto platforms. Behind the screens, dozens of people were forced to work under brutal conditions inside heavily guarded compounds, managing hundreds of fake profiles and digital wallets. The stolen bitcoins were spread across thousands of addresses to obscure their origin, before being consolidated into wallets controlled directly by the group’s leadership.
This seizure, now recognized as the largest in DOJ history, not only reveals the scale of cybercrime within the crypto ecosystem but also marks a turning point in international cooperation against digital money laundering. The Department aims to liquidate the confiscated assets to compensate victims, potentially setting a legal precedent for how governments handle seized digital property.
The impact of this case extends far beyond the courtroom. First, it exposes the structural vulnerability of the crypto ecosystem to transnational criminal networks, particularly in regions with weak regulatory oversight. Second, it could accelerate the creation of global identity and transaction traceability standards across exchanges and DeFi platforms, pushing for stricter Know Your Customer (KYC) and Anti-Money Laundering (AML) compliance. Finally, it highlights the urgent need to balance financial innovation with human protection, reminding the world that decentralization without accountability can easily become fertile ground for exploitation.
Ultimately, the seizure of $15 billion in bitcoin is not just a victory for international justice, it is also a warning to the industry: the era of crypto impunity is beginning to end.
