Alleged Billion-Dollar Crypto Scam Boss Handed Over To China

bitcoinistPublished on 2026-04-03Last updated on 2026-04-03

Abstract

Chinese authorities have extradited Li Xiong, former chairman of Huione Group and alleged right-hand man to crypto scam boss Chen Zhi, from Cambodia to China on April 1. He faces fraud and money laundering charges. This follows the extradition of Chen Zhi three months prior and the seizure of 127,271 Bitcoin (worth over $15 billion) connected to him. Huione Group is accused of being the financial backbone for massive "pig butchering" scams and other crypto fraud operations across Southeast Asia, processing over $89 billion in crypto assets. The US has cut the group off from its banking system. Chinese officials warn remaining syndicate members to surrender.

Chinese authorities seized over 127,000 Bitcoin — worth more than $15 billion — from the head of a massive crypto fraud network. That seizure, tied to Chen Zhi of Prince Group, was just the opening move. Now his right-hand man is in custody too.

Extradition From Phnom Penh

Li Xiong, former chairman of Huione Group, was flown from Cambodia’s capital to China on April 1 after a task force from China’s Ministry of Public Security coordinated the transfer with Cambodian officials.

He now faces fraud and money-laundering charges. Hong Kong-based outlet Ta Kung Wen Wei first reported the development, citing a statement from the Ministry posted on WeChat.

Xiong’s arrest follows Chen Zhi’s by about three months, suggesting Chinese law enforcement has been working through the syndicate’s leadership in stages.

Huione Group operated as the financial backbone for scam operations spread across Southeast Asia. These included so-called “pig butchering” schemes — long-con frauds where criminals build fake online relationships with victims before draining their savings through fake investment platforms.

The group processed over $89 billion in crypto assets, according to blockchain analytics firm Elliptic, making it one of the largest illicit financial operations ever documented.

A Network Built On Stolen Crypto

The syndicate’s reach extended well beyond Cambodia. Victims around the world lost money to scam centers that funneled proceeds through Huione’s infrastructure.

BTCUSD now trading at $66,083. Chart: TradingView

In October, the US Treasury Department’s Financial Crimes Enforcement Network cut Huione Group off from the American banking system entirely, ordering US financial institutions to close any accounts or payment channels linked to the group. That move effectively froze the network’s access to dollar-denominated finance.

Around the same time, the US Department of Justice announced it had seized 127,271 Bitcoin connected to Chen Zhi. At current values, that haul exceeds $15 billion — one of the largest crypto seizures in history.

Authorities Warn Remaining Members

Chinese officials are not done. Ta Kung Wen Wei reported that several other members of the syndicate have already been brought to justice. Officials issued a public warning to anyone still at large, urging them to turn themselves in and cooperate in exchange for more lenient treatment.

“Public security authorities will continue to intensify efforts to capture fugitives,” the outlet quoted officials as saying.

The message was blunt: the window to surrender is open, but it will not stay open long. With two of the group’s top figures now in Chinese custody and its finances cut off from the US banking system, what remains of the Huione network appears to be running out of room.

Featured image from Getty Images, chart from TradingView

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