{"id":104865,"date":"2025-10-15T04:17:47","date_gmt":"2025-10-15T04:17:47","guid":{"rendered":"https:\/\/mycryptomania.com\/?p=104865"},"modified":"2025-10-15T04:17:47","modified_gmt":"2025-10-15T04:17:47","slug":"trump-team-seizes-15b-in-bitcoin-from-cambodian-cyber-gang-will-it-go-to-us-bitcoin-reserve","status":"publish","type":"post","link":"https:\/\/mycryptomania.com\/?p=104865","title":{"rendered":"Trump Team Seizes $15B in Bitcoin from Cambodian Cyber Gang, Will it Go to US Bitcoin Reserve?"},"content":{"rendered":"

The United States has exposed a massive forced-labor and cyber-fraud network operating out of Cambodia, seizing nearly $15Bn in Bitcoin now held in federal custody.\u00a0<\/span><\/p>\n

The unprecedented case raises a new question: could these funds eventually become part of Washington\u2019s Strategic Bitcoin Reserve?<\/span><\/p>\n

JUST IN: US Government seizes $15 billion worth of Bitcoin from ‘pig butchering’ scam based in Cambodia.<\/p>\n

\u2014 Watcher.Guru (@WatcherGuru) October 14, 2025<\/a><\/p>\n\n

Prosecutors on Tuesday unsealed charges against Chen Zhi, chairman of Cambodia\u2019s Prince Group, accusing him of running large-scale \u201cpig-butchering\u201d scam compounds that trafficked workers and defrauded victims around the world.<\/span><\/p>\n

At the same time, the Justice Department <\/span>launched<\/span><\/a> the biggest forfeiture action in US history, targeting roughly 127,271 BTC tied to the network.\u00a0<\/span><\/p>\n

The operation was coordinated with authorities in the United Kingdom, and both countries announced parallel sanctions against the Prince Group and its affiliates. The announcements came on October 14 in Brooklyn and Washington, D.C.<\/span><\/p>\n

DISCOVER: 9+ Best High-Risk, High-Reward Crypto to Buy in October2025<\/a><\/strong><\/p>\n

How Did the Prince Group Become the Center of a $15Bn Bitcoin Seizure?<\/h2>\n

Attorney General Pamela Bondi called the case \u201cone of the most significant strikes\u201d against human trafficking and cyber-enabled financial fraud. The FBI described the takedown as \u201cone of the largest financial fraud operations ever dismantled.\u201d Chen Zhi remains at large.<\/span><\/p>\n

The size of the seizure has sparked discussion about what the US might do with such a massive Bitcoin stockpile.\u00a0<\/span><\/p>\n

While the government has previously auctioned smaller crypto holdings seized from criminal cases, this amount is historically large. Some observers believe it could test the framework for a future national Bitcoin reserve, an idea gaining quiet traction in Washington.<\/span><\/p>\n

Prosecutors say the Prince Group held trafficked workers in prison-like compounds and forced them to run large-scale romance and investment scams.<\/span><\/p>\n

The Justice Department reports that the defendant stored approximately 127,271 BTC in unhosted wallets controlled through private keys held by the defendant.\u00a0<\/span><\/p>\n

Officials called it the largest forfeiture complaint in the department\u2019s history. The government is holding the seized funds until the case is resolved.<\/span><\/p>\n

In a related move, the US Treasury designated the \u201cPrince Group Transnational Criminal Organization\u201d and sanctioned 146 associated individuals and entities.<\/span><\/p>\n

It also used a USA PATRIOT Act \u00a7311 order. This blocked the Cambodia-based Huione Group from accessing the US financial system.\u00a0<\/span><\/p>\n

The UK <\/span>followed with its own actions,<\/span><\/a> freezing London properties tied to the network, including a \u00a312M mansion, and sanctioning Chen along with several affiliated companies.<\/span><\/p>\n

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Will the $15B in BTC go into the US Bitcoin Reserve?<\/h2>\n

President Trump\u2019s March 2025 executive order created the Strategic Bitcoin Reserve (SBR). It directs that the US government\u2019s Bitcoin holdings come from forfeited criminal assets, not taxpayer money.\u00a0<\/span><\/p>\n

Treasury Secretary Scott Bessent reaffirmed that stance, saying the department isn\u2019t purchasing Bitcoin and will rely solely on lawful seizures.<\/span><\/p>\n

Before the latest action, federal agencies were <\/span>estimated<\/span><\/a> to already hold between $15Bn and $20Bn worth of Bitcoin from past cases.\u00a0<\/span><\/p>\n

If courts approve today\u2019s forfeiture and finalize victim restitution, authorities could add the seized funds to the SBR. This would follow existing rules.<\/span><\/p>\n

Senator Cynthia Lummis is a key supporter of formalizing the reserve through legislation. She <\/span>praised<\/span><\/a> the Justice Department\u2019s work and urged Congress to set clearer rules for handling digital assets.\u00a0<\/span><\/p>\n

Senator Lummis urged officials to safeguard seized Bitcoin and compensate victims. She also called for preserving remaining funds as part of the nation\u2019s long-term digital reserve strategy.<\/span><\/p>\n

Bitcoin prices <\/span>showed<\/span><\/a> little immediate reaction, hovering around $112,521. The broader crypto market remained subdued amid ongoing global economic pressures this week.<\/span><\/p>\n\n

(<\/span>Source: Coingecko<\/span><\/a>)<\/span><\/p>\n

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Join The 99Bitcoins News Discord Here For The Latest Market Updates<\/span><\/a><\/strong><\/p>\n

The post Trump Team Seizes $15B in Bitcoin from Cambodian Cyber Gang, Will it Go to US Bitcoin Reserve?<\/a> appeared first on 99Bitcoins<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

The United States has exposed a massive forced-labor and cyber-fraud network operating out of Cambodia, seizing nearly $15Bn in Bitcoin now held in federal custody.\u00a0 The unprecedented case raises a new question: could these funds eventually become part of Washington\u2019s Strategic Bitcoin Reserve? JUST IN: US Government seizes $15 billion worth of Bitcoin from ‘pig […]<\/p>\n","protected":false},"author":0,"featured_media":104866,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-104865","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/104865"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=104865"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/104865\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/104866"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=104865"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=104865"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=104865"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}