Trump Team Captures $15B in Bitcoin from Cambodian Cyber Criminals, Will it Be Added to US BTC Reserve?

Oct 15, 2025

The United States has unveiled a vast protocol of forced labor and cyber fraud based in Cambodia, confiscating approximately $15 billion in Bitcoin now under federal control.

This unprecedented case prompts a new inquiry: might these assets eventually be incorporated into Washington’s Strategic BTC Reserve?

JUST IN: US Government seizes $15 billion worth of BTC from ‘pig butchering’ scam based in Cambodia.

— Watcher.Guru (@WatcherGuru) October 14, 2025

On Tuesday, prosecutors unveiled charges against Chen Zhi, chairman of Cambodia’s Prince Group, accusing him of orchestrating extensive “pig butchering” scams that exploited trafficked workers and defrauded individuals globally.

Simultaneously, the Justice Department initiated the largest forfeiture action in US history, targeting approximately 127,271 BTC linked to the protocol.

The operation was executed in partnership with authorities in the United Kingdom, with both nations announcing simultaneous sanctions against the Prince Group and its affiliates. These announcements were made on October 14 in Brooklyn and Washington, D.C.

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How Did the Prince Group Emerge as the Epicenter of a $15Bn BTC Seizure?

Attorney General Pamela Bondi declared the case “one of the most significant offensives” against human trafficking and cyber-enabled financial fraud. The FBI termed the operation as “one of the most extensive financial fraud schemes ever dismantled.” Chen Zhi remains unaccounted for.

The magnitude of the seizure has sparked dialogue regarding the potential use of such a substantial BTC cache by the US.

While the government has previously auctioned off smaller amounts of crypto asset seized from criminal activities, this quantity is unprecedented. Some analysts speculate it could test the framework for a possible national BTC reserve, a concept that is quietly trending in Washington.

Prosecutors allege the Prince Group confined trafficked individuals in prison-like settings and compelled them to conduct large-scale romance and investment scams.

The Justice Department indicates that the defendant stored about 127,271 Bitcoin in unhosted wallets managed by private keys controlled by the defendant.

Officials described this as the largest forfeiture action in the department’s history. The government will retain the seized assets until the legal proceedings conclude.

In a related effort, the US Treasury labeled the “Prince Group Transnational Criminal Organization” and sanctioned 146 associated individuals and entities.

Additionally, it invoked a USA PATRIOT Act §311 order, which barred the Cambodia-based Huione Group from accessing the US financial system.

The UK implemented its own measures, freezing properties in London linked to the protocol, including a £12 million mansion, and sanctioning Chen alongside various affiliated companies.

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Will the $15B in Bitcoin be added to the US Bitcoin Reserve?

President Trump’s executive order from March 2025 established the Strategic BTC Reserve (SBR). It mandates that the US government’s Bitcoin assets originate from seized criminal properties rather than taxpayer funds.

Treasury Secretary Scott Bessent reaffirmed this position, stating the department will not be acquiring BTC and will depend solely on legal seizures.

Prior to this recent action, federal agencies were believed to already possess between $15 billion and $20 billion worth of Bitcoin from previous cases.

Should the courts ratify today’s forfeiture and finalize victim restitution, authorities might integrate the seized assets into the SBR, adhering to existing guidelines.

Senator Cynthia Lummis is a prominent advocate for solidifying the reserve through legislation. She commended the Justice Department’s efforts and called on Congress to clarify regulations concerning digital assets.

Senator Lummis urged officials to safeguard the seized Bitcoin and base level victims. She also emphasized the need to preserve remaining funds as part of the nation’s long-term digital reserve strategy.

Bitcoin prices showed little immediate change, hovering around $112,521, while the overall digital currency trading market remained sluggish amid ongoing global economic pressures this week.