- The US Department of Justice seized $15 billion in Bitcoin from the Prince Group linked to forced labor scams in Cambodia.
- The bitcoins were reportedly stolen in 2020 from LuBian, a bitcoin mining company operating in China and Iran.
- LuBian controlled nearly 6% of global Bitcoin mining before it disappeared in February 2021.
- The DOJ’s forfeiture action marks the largest in US history, involving approximately 127,271 bitcoins.
- The circumstances around the original theft and how the US government gained custody remain unclear.
The US Department of Justice (DOJ) announced the seizure of nearly $15 billion worth of bitcoin connected to the Prince Group’s forced labor scam operations in Cambodia. The announcement was made on October 14, 2025, alongside an indictment of Prince Group chairman Chen Zhi for wire fraud and money laundering conspiracy.
These bitcoins were identified by cryptocurrency analytics firm Elliptic as the same funds “stolen” in 2020 from LuBian, a bitcoin mining business with operations in China and Iran. LuBian managed close to 6% of global Bitcoin mining before it vanished in early 2021.
In August 2025, Arkham Intelligence revealed the suspected theft of 127,426 BTC, worth $3.5 billion at the time, from LuBian. The theft stemmed from a vulnerability in the cryptographic key generation algorithm used by LuBian, which Hackers exploited through brute-force attacks. Following the hack, LuBian attempted to recover the stolen bitcoins by sending hundreds of transactions totaling over $40,000 with the message, “Please return our funds, we’ll pay a reward.”
The stolen bitcoins remained inactive until June 2024, when they were transferred to new wallets that have stayed dormant since. The DOJ’s indictment describes how the Prince Group laundered proceeds from its online scams through various legal-appearing businesses, including cryptocurrency mining operations, one of which was LuBian.
The DOJ has now taken control of approximately 127,271 bitcoins, marking the largest forfeiture action by the US government. The indictment lists 25 bitcoin addresses tied to the stolen funds, confirming their connection to LuBian and Chen Zhi.
It is currently unclear how the bitcoins came under US custody or the true nature of the theft. Whether the theft actually occurred or was part of a larger money laundering scheme remains uncertain. It is possible that an opportunistic Hacker took the bitcoins before they were seized by authorities.
Further details can be found in the DOJ’s official indictment and Arkham Intelligence’s disclosure.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
Previous Articles:
- US Seizes $15B Bitcoin Tied to Cambodian ‘Pig Butchering’ Scams
- Myanmar Scam Centers Use Starlink to Evade Thai Crackdown Efforts
- Solmate Buys $50M Discounted SOL, Ark Invest Ups Stake in SLMT
- US, UK Sanction Prince Group in $15B Crypto Scam Crackdown
- StableX Soars 10% After BitGo Partnership, $100M Token Plan
