The Fall of Cambodia’s Crypto Prince: Chen Zhi’s $15B Pig-Butchering Empire Crushed

LumeChain.com
17 Oct, 2025

A Record-Breaking Seizure: BTC Worth ~$15 Billion

The Fall of Cambodia’s Crypto Prince: Chen Zhi’s $15B Pig-Butchering Empire Crushed


On October 14, 2025, the U.S. Department of Justice (DOJ), in coordination with U.K. authorities, executed one of the largest cryptocurrency forfeitures in U.S. history by seizing 127,271 Bitcoins, valued at about US$15 billion, from an alleged global pig-butchering scam run by Chen Zhi, chairman of Cambodia’s Prince Holding Group. AP News+3WIRED+3WIRED+3

Who Is Chen Zhi & How the Scam Operated

Chen Zhi, also known as “Vincent,” founded and leads Prince Holding Group, a conglomerate publicly involved in real estate, finance, and consumer services in over 30 countries. Behind that façade, authorities say he masterminded a criminal network involving massive online investment scams (“pig-butchering”), forced labor, and human rights abuses. MEXC+4WIRED+4Asia Times+4

The Fall of Cambodia’s Crypto Prince: Chen Zhi’s $15B Pig-Butchering Empire Crushed


Pig-Butchering Defined

“Pig butchering” (also called sha zhu pan) is a scam style in which victims are seduced via social media or dating apps, sometimes under a personal or romantic guise, gradually “fattened up” with trust before being persuaded to invest in fake cryptocurrency schemes. Once committed, the victims’ funds are stolen. TipRanks+2Wikipedia+2

The Human Cost: Forced Labour, Brutality & Global Scale

  • Dozens of scam compounds in Cambodia were allegedly used, many described as prison-like facilities, where trafficked individuals were held, forced to conduct fraudulent operations, isolated, under threat or use of violence. Asia Sentinel+3WIRED+3Tom's Hardware+3

  • The operation used massive numbers of fake or automated social media accounts: One filing alleges 1,250 mobile phones controlling some 76,000 social media accounts. WIRED+2Tech Times+2

  • Victims were lured with false promises of jobs or romance, then manipulated into making crypto investments that turned out to be fraudulent. MEXC+2WIRED+2

Money Laundering & Financial Infrastructure

  • The proceeds were laundered via a complex network including shell companies, cryptocurrency mining operations, real estate, luxury goods (yachts, jets), and even art (including a Picasso painting) bought with illicit profits. Asia Times+4Tom's Hardware+4WIRED+4

  • Huione Group, a fintech/e-commerce system, is implicated as a key node in the laundering network. Between August 2021 and January 2025, it processed at least US$4 billion in illicit proceeds, including from pig-butchering frauds and other cybercrimes. Authorities have now severed its access to the U.S. financial system. Asia Times+1

Legal & Sanction Developments

  • Chen Zhi has been charged by U.S. federal prosecutors with wire fraud conspiracy and money laundering conspiracy. If convicted, he could face up to 40 years in prison. Tom's Hardware+2AP News+2

  • The U.S. Treasury, along with U.K. counterparts, designated Prince Holding Group and numerous associated individuals and companies as a transnational criminal organization, imposing sanctions and freezing assets, including real estate in London. The Guardian+2WIRED+2

How the Seizure Unfolded

  1. Tracing on-chain: Blockchain analytics traced transfers of stolen Bitcoin, including movements from long-inactive wallets. WIRED+2Asia Times+2

  2. Discovery of weak private key generation: Authorities found vulnerabilities in Chen Zhi’s key generation system. This weak security helped U.S. government forces gain control over certain wallets. WIRED+1

  3. Forfeiture complaint: DOJ filed a civil forfeiture complaint to take legal control of the seized BTC. MEXC+1

Why This Case Matters

  • Scale & precedent: This is one of the largest crypto theft seizures ever. It sets a benchmark for what law enforcement can achieve using blockchain forensic tools. WIRED+2WIRED+2

  • Forced labor & human rights in crypto fraud are now central to enforcement, not just financial crime. Victims’ treatment (trafficking, violence) is being treated as critical evidence. Tom's Hardware+2WIRED+2

  • Cryptocurrency accountability: The notion that bitcoin or digital assets are untraceable is further challenged. Old or dormant wallet addresses are not safe if they can be linked, via forensic tracing, to criminal proceeds. WIRED

Where Things Stand

  • Chen Zhi remains at large. Authorities have yet to capture him. He holds multiple citizenships and reportedly uses political connections to evade capture. Asia Sentinel+2The Guardian+2

  • The seized 127,271 BTC is now in U.S. government custody, after legal forfeiture processes. WIRED+1

Conclusion

This operation — the seizure of some US$15 billion in Bitcoin tied to alleged forced-labour pig-butchering scams — represents a strong signal by U.S. and U.K. enforcement that large-scale crypto fraud, even when backed by brutal human rights abuses and political shieldings, can be exposed, pursued, and dismantled. For victims, regulators, and the crypto world, the case sharpens awareness: digital assets do not guarantee anonymity, and forensic tools, sanctions, and cooperation across borders can make a real difference.

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