DOJ says 127,271 BTC is in U.S. custody; Chen Zhi charged

US Department of Justice filed a civil forfeiture action for 127,271 BTC—about $15B at recent prices—and says the assets are in U.S. custody pending court review. Prosecutors also unsealed an indictment of Prince Group chairman Chen Zhi in the Eastern District of New York, placing the case in one of the department’s major financial-crime venues. The filings describe a multi-year effort tied to large-scale online investment fraud. Charges The government alleges Chen ran Cambodian forced-labor scam compounds behind “pig-butchering” schemes that targeted victims worldwide. The indictment outlines organized recruitment, coercion, and crypto-funded fraud that moved proceeds across wallets and services. Chen remains at large; the allegations have not yet been proven in court. Actions Justice labels this the largest forfeiture action in department history and says the 127,271 BTC is currently in U.S. custody. The announcement came alongside partner measures the same day, including sanctions actions by Treasury and the U.K. aimed at connected networks. Together, the filings and sanctions signal a coordinated push against the financial rails that support the scams. Context The amount dwarfs the DOJ’s June 2025 crypto-confidence-scam actions (about $225M), underscoring the scale and profitability of these rings. If successful, the case could harden precedent for tracing and recovering funds at size, raise pressure on exchanges and OTC brokers, and accelerate compliance changes across on- and off-ramps. It also highlights Southeast Asia as a continuing enforcement focus in crypto-enabled fraud.