Taiwan Indicts 62 Over Laundering $339M in Crypto Scam

Taiwan has indicted 62 people for allegedly laundering $339 million in cryptocurrency proceeds tied to scam compounds operating out of Cambodia, according to a report published on March 6, 2026. The charges target members and affiliates of the Prince Group, a network that the U.S. Department of Justice has designated a transnational criminal organization, along with 13 companies accused of directing and commanding the operation.

Taiwan Prosecutors Detail Massive Crypto Laundering Network

Prosecutors in Taipei allege that the Prince Group channeled illicit funds through Taiwan to obscure the origin and movement of criminal proceeds. The scheme allegedly relied on shell companies, underground remittances, and the purchase of luxury goods, sports cars, and real estate to disguise the flow of money.

Among those charged is Chen Zhi, the group's chairman and alleged mastermind, who was arrested in Cambodia and extradited to China earlier this year. Approximately $174 million (NT$5.5 billion) of the total $339 million (NT$10.8 billion) has been seized by authorities, according to prosecutors.

"To conceal and disguise criminal proceeds, they exploited Taiwanese nationals to carry out money-laundering activities in Taiwan through online gambling and underground remittances," prosecutors said in a statement, adding that the activities had "seriously disrupted Taiwan's financial order and social stability."

To conceal and disguise criminal proceeds, they exploited Taiwanese nationals to carry out money-laundering activities in Taiwan through online gambling and underground remittances.

— Taipei District Prosecutors' Office

What Are the U.S. Federal Charges Against Chen Zhi?

Chen Zhi faces separate federal charges in the United States for his alleged role in operating forced-labor scam compounds. In October 2025, a federal court in Brooklyn, New York indicted the Prince Group chairman on counts of wire fraud conspiracy and money laundering conspiracy for his involvement in pig butchering scam operations conducted from Cambodian compounds using coerced labor.

Alongside that criminal indictment, the U.S. Attorney's Office for the Eastern District of New York and the Justice Department's National Security Division filed a civil forfeiture complaint targeting 127,271 BTC, valued at roughly $15 billion at the time. That action represented the largest civil forfeiture filing in the DOJ's history. The Prince Group denied any wrongdoing in a statement issued through a U.S. law firm in November 2025, according to reports.

Southeast Asia's Scam Compound Crisis Intensifies

Southeast Asia has emerged as the global epicenter of scam compound operations that use coerced labor to execute pig butchering fraud. These schemes employ social engineering tactics to persuade victims to purchase cryptocurrency, after which scammers divert and seize control of the funds through fraudulent investment platforms and applications.

Interpol formally elevated scam-compound networks to a global threat designation at its General Assembly in Marrakech, with member countries approving a resolution acknowledging that crypto-related fraud now sits at the core of a sprawling transnational criminal industry. The organization noted that the networks rely heavily on human trafficking and online fraud infrastructure.

In 2025, the U.S. Treasury's Office of Foreign Assets Control sanctioned 19 entities across Burma and Cambodia, targeting scam operations that cost victims more than $10 billion in 2024. A cross-agency strike force established to dismantle scam centers revealed last month that it had frozen or seized approximately $580 million in cryptocurrency linked to these operations. The growing scale of Taiwan money laundering indictment cases underscores how deeply these criminal networks have penetrated legitimate financial systems across the Asia-Pacific region.

What This Means Going Forward

The Taiwan indictment signals an escalating global crackdown on crypto-enabled money laundering networks tied to scam compounds. Deddy Lavid, CEO of blockchain analytics platform Cyvers, previously told reporters that the firm had identified 27,000 criminal groups involved in pig butchering scams worldwide, with some $27.5 billion in fraud exposure and detected illicit value flows. As law enforcement agencies across the United States, Southeast Asia, and Taiwan tighten coordination, the financial infrastructure supporting these operations faces unprecedented scrutiny.