US Bitcoin reserves surpassed $36 billion after the US Attorney’s Office for the Eastern District of New York and the Justice Department’s National Security Division seized 127,271 BTC worth $14 billion from a former Chinese citizen. Authorities accused Chen Zhi of running a massive fraud ring in Cambodia that used forced labor to steal billions of dollars.
The rapid growth of transnational fraud has cost American citizens billions of dollars, their savings wasted in minutes. The Treasury Department is taking action to protect Americans by combating foreign fraudsters.
Working closely with federal law enforcement and international partners like the United Kingdom, the Treasury Department will continue its efforts to protect Americans from predatory criminals, said Treasury Secretary Scott Besent.
In addition to charges of running a large-scale fraud ring that lured victims into investment scams, Zhi was also allegedly involved in «sextortion fraud involving sexually explicit materials» and orchestrating «industrial-scale human trafficking, torture, and extortion of enslaved workers.»
Bitcoin- US reserves are replenished only through withdrawals, because in August 2025, Besent stated that the authorities would not buy the flagship cryptocurrency for their strategic reserve.