US, UK Seize $14 Billion in Bitcoin in Crackdown on Alleged Global Crypto Scam
Authorities in the United States and the United Kingdom have seized more than $14 billion worth of bitcoin in what officials describe as one of the largest financial crackdowns in history. The operation targeted Chen Zhi, a UK and Cambodian national accused of running a vast cryptocurrency fraud empire under the Prince Group conglomerate.
Chen, who remains at large, has been charged in New York with wire fraud conspiracy and money laundering, according to the US Department of Justice (DOJ). Prosecutors allege he oversaw an international criminal network that defrauded thousands of victims and trafficked workers to operate scam compounds across Cambodia.
The joint operation also led to US and UK sanctions against Chen and his companies. The UK government confirmed that it had frozen assets linked to Chen’s network, including 19 London properties, one of which is reportedly worth nearly £100 million.
According to US prosecutors, the Prince Group—which publicly presents itself as a property, financial services, and consumer goods company—secretly ran one of Asia’s largest transnational scam operations. Victims were allegedly tricked online into investing in fake cryptocurrency schemes, with their funds funneled into Chen’s empire.
Court documents revealed that at least ten scam compounds were built under Chen’s direction. These facilities reportedly contained “phone farms” with over 1,200 mobile devices managing tens of thousands of fake social media accounts to target unsuspecting victims worldwide.
Workers were allegedly trafficked and forced into online fraud under harsh, prison-like conditions. “The Prince Group was a criminal enterprise built on human suffering,” said Assistant Attorney General John A. Eisenberg.
The DOJ said profits from the scam were used to fund a lavish lifestyle that included private jets, luxury watches, and rare art pieces – among them, a Picasso painting purchased from a New York auction house.
If convicted, Chen faces up to 40 years in prison.
In the UK, the Foreign Office confirmed that Chen’s network used offshore entities in the British Virgin Islands to launder proceeds through London real estate. Assets include a £12 million mansion in North London and 17 luxury apartments across the city.
Foreign Secretary Yvette Cooper condemned the operation, saying the network was “ruining lives and using London homes to hide dirty money.” She added, “Together with our US allies, we are taking decisive action to uphold human rights, protect British nationals, and stop criminal wealth from entering our economy.”
The Prince Group, along with Jin Bei Group, Golden Fortune Resorts World, and Byex Exchange, has now been sanctioned. Two of these firms were previously cited in Amnesty International reports for alleged use of forced labor and torture in scam compounds.
UK Fraud Minister Lord Hanson said the crackdown underscores a firm stance against global fraud networks: “Fraudsters prey on the most vulnerable by stealing life savings and destroying lives. We will not tolerate it.”
