FBI seizes record-setting $8 billion in cryptocurrency amid intercontinental 'scam compound' crackdown

FIRST ON FOX — The FBI says it has seized a record-setting $8 cardinal successful cryptocurrency and arrested hundreds of suspects arsenic portion of an intercontinental crackdown connected "scam compounds" and organized crime, including 1 radical known arsenic the "Democratic Karen Benevolent Army."

They person been blamed for a planetary question of theft from Americans, including arsenic overmuch arsenic $3 cardinal from a azygous U.S. national who fell unfortunate to an online scam. 

The FBI confiscated much than 127,000 bitcoin during the apprehension of 1 leader, Chen Zhi, the CEO of a Cambodian endeavor called the Prince Holding Group. That's worthy much than $8 cardinal — perchance much than $15 cardinal a the clip of seizure — and officials are calling it the largest forfeiture successful the past of the U.S. government's history. 

The Democratic Karen Benevolent Army is an equipped militia named aft a portion successful Myanmar with alleged ties to the Chinese mob and presently facing sanctions from the U.S. Treasury for anterior ample standard scamming operations. It has been designated a transnational transgression enactment by the government. 

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A ample fig of seized devices from an FBI anti-scam cognition successful Thailand. (FBI)

More compounds successful Asia, Africa and the Middle East person allegedly been tied to Chinese organized transgression and were specifically targeting Americans, and operations to dismantle further centers stay underway globally, an FBI authoritative told Fox News Digital Thursday. 

"Scam compounds are not conscionable telephone centers. They are organized transgression enterprises built to bargain from Americans, launder money, and exploit radical astatine scale," FBI Director Kash Patel said successful a connection to Fox News Digital.

"The FBI has been starring the charge, from taking down Prince Group successful Cambodia to Operation Sand Dollar successful Dubai. We helped escaped astir 2,000 trafficked workers, unopen down much than $8 cardinal successful scam halfway fraud, and arrested astir 300 people," Patel said. "If you people Americans, we volition find you, disrupt your network, and bring each disposable instrumentality of the national authorities down connected you."

In Thailand, photos amusement the FBI seized thousands of smartphones, arsenic good arsenic bureau instrumentality from an cognition there.

In Dubai, section constabulary and the FBI arrested 275 people, six of whom volition beryllium extradited to the United States to look national charges, the FBI said.

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Each of the 9 compounds raided determination were allegedly taking successful $6 cardinal successful fraud proceeds a year. 

The Prince Group is accused of moving akin guarded compounds astir the world, authorities said. 

FBI agents beryllium successful beforehand of devices seized successful anti-scam operations. (FBI)

Zhi faces national charges of ligament fraud and wealth laundering conspiracy. 

An FBI authoritative told Fox News Digital that the bureau has been prioritizing crackdown connected these groups for the past 12 months.

The authoritative said the $3 cardinal lawsuit progressive 1 idiosyncratic who was the unfortunate of a romance scheme, noting that different fraud schemes person been linked to respective suicides, historically including extortion cases that were mostly targeting teenagers.

Victims of scam centers who were tricked oregon trafficked into moving successful Myanmar, stuck successful limbo astatine a compound wrong the KK Park, a fraud factory, and a quality trafficking hub connected the borderline with Thailand-Myanmar aft a multinational crackdown connected the compounds tally by transgression gangs, operated by the Karen Border Guard Force (BGF) successful Myawaddy, Myanmar, Feb. 26, 2025. (REUTERS/Stringer)

Some of the groups allegedly relied connected quality trafficking victims for labor, according to the bureau. Scammers often entice individuals with promises of bully income and enactment visas to lure them into the scam operations, past unit them to behaviour scams by menace of beatings oregon different torture methods.

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The FBI partnered with Starlink, providing the Elon Musk-owned outer institution with geolocation information to assistance place scammers utilizing Starlink terminals to prosecute successful fraud. Through the partnership, Starlink suspended much than 7,000 terminals successful Myanmar, according to the bureau.

The cognition sprung from a bid of complaints the FBI's Internet Crime Complaint Center (IC3) received successful 2025. Over the people of the year, IC3 received astir 72,000 complaints detailing losses of much than $7.5 cardinal related to cryptocurrency concern fraud. The FBI estimates those figures wildly underrepresent existent losses.

Multinational victims of scam centers, who were tricked oregon trafficked into moving successful Myanmar, basal connected a vas floating towards the Thai broadside of borderline via Moei River successful Phop Phra District, Tak province, Thailand, connected Feb. 12, 2025. (REUTERS/Krit Phromsakla Na Sakolnakorn)

An estimation from the United States Institute of Peace suggests that transgression syndicates bargain astir $64 cardinal each year.

The overarching Operation Blackout included astatine slightest 4 abstracted operations including the aforementioned probe into the Prince Holding Group, called Operation Zephyr Exodus. Other operations included Operation Sand Dollar, an probe targeting scam compounds operated by organized transgression elements passim Asia that preyed connected American citizens successful the United Arab Emirates (UAE).

Another cognition was Operation Haochen, an probe into the Tai Chang scam compound successful Kyaukhat, Myanmar, an country controlled by the DKBA. The compound was allegedly connected to Chinese transgression actors. The FBI seized $30 cardinal tied to Tai Chang and different scam compounds.

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The Shunda Compound Takedown progressive a associated task unit including the FBI and Thai partners. The probe led to the apprehension of 2 subjects successful Thailand and the seizure of a Telegram transmission utilized to enlistee forced labour into a Cambodian instrumentality enforcement impersonation scam.

The FBI besides enacted a proactive measure, Operation Level Up, an inaugural that identifies victims of cryptocurrency concern fraud and notifies them of scams. Through the operation, the FBI has already notified 8,935 victims, 77 percent of whom were unaware they were being scammed. The notifications person prevented $562 cardinal successful losses.