US gov't seizes $15 billion BTC, largest cryptocurrency forfeiture in history by DOJ

Source Cryptopolitan

The U.S. Department of Justice (DOJ) made the largest cryptocurrency forfeiture in the department’s history earlier today after it announced seizing roughly $15 billion worth of Bitcoin from a criminal network running forced-labor cyber-fraud operations from Cambodia.

The network is allegedly controlled by Chen Zhi, also known as “Prince Chen” or “Vincent,” the chairman of Prince Holding Group, one of Cambodia’s most prominent conglomerates.

U.S. prosecutors accuse Chen of orchestrating sprawling scam compounds that trafficked and enslaved thousands of workers to run fraudulent online investment schemes, including “pig-butchering” crypto scams that defrauded victims around the world.

The indictment, unsealed in New York on Tuesday, October 14, 2025, charges Chen and several associates with conspiracy to commit wire fraud and money laundering. Prosecutors said the case involves 127,271 Bitcoins, valued at about $15 billion. The forfeiture, now in U.S. custody, surpasses all previous cryptocurrency seizures by the DOJ.

Prince Chen built a scam empire on coercion

According to the Justice Department, Chen’s organization operated under the guise of operating real estate development, financial services, and consumer services with the Prince Group, but was in fact a vast network of forced-labor compounds spread across Cambodia.

Thousands of workers, many trafficked from neighboring Asian countries, were held in heavily guarded facilities where they were coerced into conducting online romance and investment scams targeting victims in the U.S., Europe, and Asia.

Investigators found evidence of torture, intimidation, and wage confiscation within these sites. Victims were forced to create fake online personas to lure unsuspecting individuals into fraudulent cryptocurrency investments, known as pig-butchering.

The U.S. Department of the Treasury, working in tandem with the DOJ, has now designated Prince Group and several affiliated entities as a transnational criminal organization. In a coordinated move, the U.K. government imposed sanctions on Chen and his network.

Tracing billions across the blockchain

Per the DOJ’s forfeiture filing, the proceeds were laundered through thousands of blockchain addresses using sophisticated techniques to obscure their source before consolidation into wallets controlled by Chen’s network.

The $15 billion seizure stems from approximately 127,271 BTC traced to unhosted wallets held under Chen’s control. U.S. officials said the assets are now secured by the government pending forfeiture proceedings.

The size of the forfeiture has stirred conversation among stakeholders and observers, including on-chain sleuth ZachXBT. The independent analyst implied that the US government or another entity that transferred the BTC to them might have cracked the wallet addresses listed in its report. Zach pointed to the addresses being mentioned in the “Milky Sad report ~2 years ago for having vulnerable private keys.”

Now that the United States Government has custody, the on-chain sleuth is convinced that the $14 billion loot was not handed over voluntarily.

In recent years, U.S. officials have stepped up enforcement against Southeast Asian scam syndicates, which have grown into industrial-scale operations combining human trafficking, crypto fraud, and money laundering.

U.S. prosecutors worked with counterparts in the U.K. and the Isle of Man, who, according to the filing, provided valuable assistance during the investigation.

The global crackdown on crypto-trafficking syndicates

The seizure shows that Washington is serious in its pursuit of global cybercrime networks exploiting cryptocurrency infrastructure. In September, the Department of the Treasury’s Office of Foreign Assets Control (OFAC) imposed sanctions on large networks of scam centers across Southeast Asia.

Speaking on the forfeiture, U.S. Attorney General Pamela Bondi said, “Today’s action represents one of the most significant strikes ever against the global scourge of human trafficking and cyber-enabled financial fraud.”

As the case proceeds to court, Chen remains at large as he faces up to 40 years in prison on the combined fraud and money-laundering charges.

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