US Moves to Forfeit 127,271 BTC in DOJ's Largest Crypto Seizure, Targeting Cambodia's Prince Group
US authorities have launched their largest Bitcoin forfeiture effort to date, moving to seize 127,271 BTC after sanctioning a network tied to Cambodia's Prince Group.
On October 14, the Treasury Department's Office of Foreign Assets Control (OFAC) sanctioned 146 targets linked to Prince Group, which the US has designated as a transnational criminal organization. The Department of Justice (DOJ) also indicted the group's alleged leader, 37-year-old Cambodian national Chen Zhi (also known as Vincent), charging him with wire fraud and conspiracy to commit money laundering. In a parallel civil action, the DOJ filed to forfeit 127,271 BTC, valued at roughly $14 billion to $15 billion at the time, marking the department's biggest cryptocurrency seizure.
Prosecutors allege Prince Group operated at least ten scam compounds across Cambodia tied to so-called "pig butchering" schemes, in which perpetrators cultivate romantic or investment relationships over weeks or months before steering victims to fraudulent crypto platforms. The DOJ says many workers inside the compounds were trafficking victims who were enslaved and forced to carry out the fraud.
Authorities allege proceeds were laundered through a wide network of shell companies across Asia. The OFAC sanctions were issued under Executive Order 13581, which targets transnational criminal organizations and their support networks. UK authorities coordinated related enforcement actions alongside the US operation.
The size of the forfeiture filing is notable: 127,271 BTC amounts to about 0.6% of Bitcoin's total supply. Analysts said immediate market impact appeared limited, with Bitcoin prices and the broader token market remaining largely stable.
Additional actions are already unfolding. South Korea imposed its own sanctions on Prince Group-linked entities in November 2025. Asset seizures across jurisdictions have reportedly reached nearly $700 million globally. Chen Zhi was reportedly extradited to China by early 2026, while Prince Group has denied the allegations.
For exchanges and crypto firms operating in or connected to Southeast Asia, the compliance stakes have risen. OFAC sanctions can expose any entity dealing with sanctioned wallets or counterparties to severe penalties, including potential exclusion from the US financial system.
