The U.S. Department of Justice has seized $15 billion worth of Bitcoin in what is shaping up to be one of the largest and most fascinating cybercrime cases in recent years.
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This staggering sum was fraudulently extracted from unsuspecting victims around the world through a scheme known as "pig butchering."
This type of fraud works by building trust with a victim over time, then persuading them to make a particularly large investment with the promise of returns — only for the scammer to vanish with the money immediately afterward.
It is a relatively common phenomenon, and it typically takes the form of an investment group in which members enjoy attractive returns on their initial investment recommendations, but lose everything on the final one, when they are convinced to put all their money into a specific stock.
What makes the current case unique, however, is that the scammers themselves are also victims.
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At the head of this criminal empire stands Zhen Zhi, owner of the conglomerate Prince Holding Group.
His fraud operation runs out of Cambodia using forced labor.
Hundreds of innocent people are held at an isolated facility and coerced under threat into carrying out online scams.
Layered on top of this are automation systems controlling thousands of mobile phones, used to operate a vast network of fake social media accounts and assist in the fraud process (one such system is pictured).
The operation is based in Cambodia because the law there is corrupt, and local officials are bribed to look the other way.
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Although an indictment has been filed against him, the perpetrator himself has yet to be apprehended.
Nevertheless, exposing the organization and seizing its funds are significant achievements, and there is little doubt that they will make a meaningful contribution to curbing this phenomenon.
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👋 Hi, I'm Shlomo Strauss — follow me for more fascinating content on science and technology.