DOJ’s Record 127,271 BTC Seizure Resurfaces Amid Scam Crackdown

Record Bitcoin Case Puts Global Scam Compounds Back successful Focus

The U.S. Department of Justice (DOJ)’s grounds bitcoin forfeiture lawsuit has returned to absorption aft caller reporting connected planetary scam-compound crackdowns. The lawsuit was archetypal announced by the Justice Department connected Oct. 14, 2025, erstwhile prosecutors unveiled transgression charges against Cambodian nationalist Chen Zhi and a related civilian forfeiture complaint.

The Justice Department said Chen, besides known arsenic Vincent, founded and chaired Prince Holding Group, a Cambodia-based conglomerate. Prosecutors charged him successful Brooklyn with ligament fraud conspiracy and wealth laundering conspiracy. The DOJ besides filed a civilian forfeiture ailment against astir 127,271 BTC, worthy astir $15 cardinal astatine the time, held successful U.S. custody.

The DOJ noted:

“The ailment is the largest forfeiture enactment successful the past of the Department of Justice.”

The Democratic Karen Benevolent Army, oregon DKBA, is an equipped militia successful Myanmar with alleged links to Chinese organized crime. U.S. authorities person sanctioned the radical implicit anterior large-scale scam operations and linked it to transnational transgression activity. The FBI said Operation Haochen targeted the Tai Chang scam compound successful DKBA-controlled Kyaukhat, Myanmar. The probe focused connected alleged scam-center operators and fiscal networks connected to compounds that targeted U.S. victims. The bureau said it seized astir $30 cardinal tied to Tai Chang and related scam compounds.

FBI Crackdown Signals New Pressure connected Global Scam Networks

Operation Blackout served arsenic the FBI’s umbrella run against scam compounds crossed Asia, Africa, and the Middle East. According to the FBI, the effort combined investigations targeting cryptocurrency fraud, quality trafficking, wealth laundering, and organized transgression networks accused of victimizing Americans. The cognition brought unneurotic aggregate investigations, including actions against compounds successful Cambodia, Myanmar, Thailand, and the United Arab Emirates (UAE). The lawsuit highlights the progressively planetary quality of crypto-enabled fraud networks.

The probe besides showed rising practice betwixt instrumentality enforcement and exertion providers. The FBI worked with Starlink, supplying geolocation accusation that helped place terminals allegedly supporting scam operations successful Myanmar. Starlink suspended much than 7,000 terminals done that effort. The bureau besides cited Operation Level Up, a victim-protection inaugural established by the FBI and U.S. Secret Service to place and notify cryptocurrency concern fraud victims. The programme has notified 8,935 imaginable fraud victims and prevented an estimated $562.7 cardinal successful losses.

FBI Director Kash Patel said:

“We helped escaped astir 2,000 trafficked workers, unopen down much than $8 cardinal successful scam halfway fraud, and arrested astir 300 people.”

The forfeiture lawsuit besides reflects a broader DOJ effort to disrupt scam-compound networks operating crossed Southeast Asia. In a abstracted enactment announced successful April, the DOJ’s Scam Center Strike Force charged 2 Chinese nationals, seized a Telegram recruitment transmission utilized to pull workers into scam centers, and took power of 503 fraudulent concern websites. The initiative, which coordinates investigations, prosecutions, plus restraints, and victim-protection efforts, besides restrained much than $700 cardinal successful cryptocurrency allegedly tied to scam-center wealth laundering.