Cambodia Extradites Crypto Scam Billionaire Chen Zhi to China Amid Global CrackdownPhnom Penh

By Suraj Karowa/ANW Cambodia – January 8, 2026 –

Cambodian authorities have extradited Chen Zhi, a controversial billionaire accused of orchestrating one of the largest cryptocurrency scams in history, to China.

The 37-year-old, once a prominent figure in Cambodia’s business elite, was arrested alongside two associates on January 6 following a months-long joint investigation into transnational crime.

Chen, born in southeast China, allegedly masterminded operations from Cambodia that defrauded victims worldwide, stealing billions in cryptocurrency.

U.S. prosecutors indicted him last October on charges of fraud and money laundering, describing it as one of the biggest financial takedowns ever.

The U.S. Treasury seized approximately $14 billion (£10.4 billion) in bitcoin linked to him – the largest such seizure on record.

Scam centres have proliferated in South East Asia – above, people rescued from compounds in Myanmar last February are seen arriving in Thailand

The UK followed suit, sanctioning his sprawling Prince Group empire, which spans property development, banking, and consumer services.

Cambodia’s Interior Ministry confirmed the arrests of Chen Zhi, Xu Ji Liang, and Shao Ji Hui, stating they were swiftly handed over to Beijing.

Chen’s whereabouts had been unknown since his U.S. indictment, but his Cambodian citizenship – acquired in 2014 after renouncing his Chinese nationality – was revoked by royal decree last month.

The ministry did not disclose the arrest location.Prince Group, headquartered in Phnom Penh, has long denied scam involvement. Its website touts legitimate ventures, including Prince Bank branches dotting the capital.

Yet U.S. authorities accuse Chen of transforming it into Asia’s largest transnational criminal organization.

Chinese investigators, probing since at least 2020, labeled it a “major transnational online gambling syndicate.”

US authorities accuse Chen Zhi of turning Prince Group into one of Asia’s largest transnational criminal organisations

Beijing’s Municipal Public Security Bureau formed a task force, citing multiple court cases tied to online fraud.

This extradition underscores a regional shift against scam compounds plaguing Southeast Asia.

The UN estimates hundreds of thousands have been trafficked to the region, primarily Cambodia and Myanmar, under false job promises.

Victims – often Chinese nationals – are coerced into “pig butchering” scams, building online trust with strangers before draining their savings.

Held in guarded compounds, they face torture or beatings for failing quotas. Targets are frequently in China itself.

Scam operations have ballooned, with some estimates suggesting they fuel nearly half of Cambodia’s economy.

Journalists like Jack Adamovic Davies, who has tracked Chen, highlight the “sheer scale” of Prince Group’s global footprint – from high-rises and casinos to financial services – built without immediate scrutiny.

“It’s shocking how it expanded under the radar,” Davies told the BBC last year.

Cambodia’s elite had cozy ties to Chen for years. High-profile partnerships included luxury developments and banking expansions.

The government stayed mum after Western sanctions, only urging the U.S. and UK to provide solid evidence.

Critics argue political connections shielded such figures until international pressure mounted.Beijing’s crackdown has intensified.

China has repatriated thousands from scam hubs, pressuring neighbors to act. Last February, Thai border images showed emaciated rescuers from Myanmar compounds arriving after raids.

Similar operations dot Cambodia’s borders, often in lawless casino towns blending legitimate gaming with illicit fraud.Chen’s case echoes broader patterns.

The shadowy Chinese firms behind these empires own swaths of Cambodian real estate, from glittering skyscrapers to remote “scam cities.”

One BBC investigation visited a bizarre compound of casinos and high-rises allegedly funded by fraud.

Victims recount being lured abroad, phones confiscated, and forced into relentless scamming under mafia-like control.

The extradition may signal Cambodia’s pivot. Facing U.S. and UK ire, Phnom Penh risks its scam-fueled growth model.

Beijing’s influence grows, with China now a key extradition partner. For victims, it’s partial justice – though recovering scattered crypto billions remains elusive.

As scams evolve with crypto’s anonymity, global cooperation is key. Chen’s fall could deter kingpins, but the trafficked workers trapped in these digital sweatshops need urgent rescue.

Southeast Asia’s underbelly of fraud persists, a stark reminder of crime’s borderless reach.