The US and UK governments have seized over $14 billion in bitcoin and charged Chen Zhi, founder of Cambodia’s Prince Group, for leading one of the largest cryptocurrency scams in history. Authorities allege that Chen ran a global cyber-fraud and money-laundering network using scam compounds in Cambodia, forcing trafficked workers to defraud victims worldwide. Both nations have sanctioned his companies, frozen luxury assets, and labeled the Prince Group a criminal organisation. Chen remains at large, facing up to 40 years in prison if convicted.
US, UK Seize $14bn in Bitcoin Linked to Cambodian Prince Group Founder in Major Fraud Case
The US government has confiscated over $14 billion (£10.5 billion) worth of bitcoin and charged Chen Zhi, a UK and Cambodian national and founder of the Prince Group, accusing him of orchestrating one of the world’s largest cryptocurrency scams.
Chen was indicted in New York on Tuesday for allegedly conspiring to commit wire fraud and running a global money-laundering network. As part of the joint US-UK operation, both countries have also sanctioned Chen’s businesses. The UK government confirmed that it has frozen his network’s assets, including 19 London properties, one of which is valued at nearly £100 million ($133 million).
The Prince Group has not yet responded to the BBC’s request for comment.
US prosecutors described the case as one of the largest financial takedowns in history and the biggest bitcoin seizure ever, with 127,271 bitcoin now under US government control.
Chen, who remains at large, is accused by the US Department of Justice (DOJ) of masterminding a “sprawling cyber-fraud empire” operating through his multinational conglomerate. Although the Cambodia-based group’s website lists ventures in property, finance, and consumer services, US authorities allege it functions as one of Asia’s largest transnational criminal networks.
According to the DOJ, victims were deceived online and persuaded to transfer cryptocurrency under false pretenses of high-return investments. Prosecutors claim that under Chen’s direction, the Prince Group constructed and managed at least ten scam compounds in Cambodia. These facilities were allegedly designed to target thousands of potential victims, with workers operating “phone farms” equipped with millions of phone numbers and social media accounts to carry out scams.
Court documents dated 8 October reveal that two facilities alone housed 1,250 phones controlling about 76,000 social media profiles. Internal company guidelines reportedly instructed scammers on building trust with victims, warning them not to use profile pictures of women “too beautiful” to maintain authenticity.
Assistant Attorney General John A. Eisenberg called the Prince Group a “criminal enterprise built on human suffering,” saying it also trafficked and imprisoned workers who were forced to conduct scams online.
The DOJ said Chen and his associates used the criminal proceeds for luxury lifestyles, funding private jet travel, exclusive entertainment, and extravagant purchases including rare art and watches. Among the items was a Picasso painting bought from a New York auction house.
If found guilty, Chen faces up to 40 years in prison.
In the UK, Chen and his associates allegedly registered shell companies in the British Virgin Islands and invested heavily in London real estate. Their frozen holdings include a £100 million office building in central London, a £12 million North London mansion, and 17 additional flats across the city, according to the UK Foreign Office.
Being sanctioned now bars Chen from the UK financial system. The Prince Group has been formally designated a criminal organisation by both the US and UK authorities.
UK Foreign Secretary Yvette Cooper condemned the network, saying its members were “ruining the lives of vulnerable people and buying up London homes to store their money.” She added, “Together with our US allies, we are taking decisive action to combat the transnational threat posed by this network — upholding human rights, protecting British nationals, and keeping dirty money off our streets.”
The Foreign Office said Chen’s network built casinos and scam compounds in Cambodia and laundered the illicit proceeds through complex financial channels.
Four companies — Prince Group, Jin Bei Group, Golden Fortune Resorts World, and Byex Exchange — have been sanctioned for their alleged role in the scams.
Two of those entities, Jin Bei Group and Golden Fortune Resorts, were previously cited by Amnesty International in reports detailing forced labour and torture at Cambodian scam centres. Many workers, often foreign nationals, were lured with false job offers and later coerced into online fraud under threats of violence or torture, the Foreign Office said.
Officials described the criminal operation as functioning on an “industrial scale,” including activity within the UK, where victims were targeted through fake online relationships and investment scams.
Fraud Minister Lord Hanson condemned the crimes, saying: “Fraudsters prey on the most vulnerable, stealing life savings and destroying trust. We will not tolerate this.”