Key Notes
- Federal authorities traced cryptocurrency flows through major exchanges into cold storage wallets controlled by Zhi’s associates.
- The US government now holds 198,012 BTC valued at $22.25 billion, representing nearly 0.943% of Bitcoin’s total supply.
- A 2025 Executive Order established framework for integrating future crypto seizures into a national Bitcoin Strategic Reserve.
The United States has filed a civil forfeiture complaint seeking the seizure of 127,271 Bitcoin
BTC
$113 370
24h volatility:
1.3%
Market cap:
$2.25 T
Vol. 24h:
$86.78 B
, worth about $14 billion, linked to Chinese businessman Chen Zhi.
According to the official filing, Chen is accused of orchestrating one of the largest-ever global pig-butchering and investment fraud operations.
Filed in the Eastern District of New York (EDNY), the complaint targets Zhi, the chairman of Cambodia’s Prince Group, and a network of associates allegedly running large-scale pig-butchering scams that blended crypto investments with human trafficking and forced labor.
The operation reportedly used call centers and shell companies across Southeast Asia to defraud victims globally through fake romantic and investment schemes.
US authorities say Zhi’s network lured victims into transferring funds that were later converted to Bitcoin and other digital assets. Many of these funds were routed through major exchanges, including Binance, before being funneled into cold storage wallets controlled by Zhi’s associates.
“By dismantling a criminal empire built on forced labor and deception, we are sending a clear message that the United States will use every tool at its disposal to defend victims, recover stolen assets, and bring to justice those who exploit the vulnerable for profit. We are grateful for the hard work of Director Patel and the men and women of the FBI,” stated US Attorney General Pam Bondi.
According to the report, the Department of Justice’s National Security Division, in partnership with the EDNY and blockchain analytics firms, played a key role in tracing the funds.
Over the past year, US prosecutors have accelerated efforts to recover assets from pig-butchering and similar cyber frauds, which have increased across Asia since 2022. Chainalysis flagged over $75 billion in illicit crypto holdings in a 2025 report, with darknet administrators controlling over $46 billion of the total loot.
US Government Moves 668 Bitcoin to New Wallet
Amid the recent enforcement activity against Chen Zhi, on-chain analytics firm Arkham spotted a significant transaction involving Bitcoin wallets linked to the US government.
The US Government moved 668 BTC ($74.8 million) to the new wallet, on Oct 14. 2025 | Source: ArkhamIntelligence
On Oct. 14, 2025, Arkham Intelligence charts showed the US government moved 668 Bitcoin, worth roughly $74.8 million, into a newly-created wallet. The move came as digital assets traded weaker across the market, suggesting that federal agencies continue to actively manage seized holdings.
US Government Bitcoin Holdings as of October 14, 2025 | Source: Bitbo
The US government now controls 198,012 BTC, valued at approximately $22.25 billion, according to Bitbo. This stash represents nearly 0.943% of Bitcoin’s total 21 million supply, positioning the United States among the world’s largest institutional Bitcoin holders.
While US federal agencies have auctioned seized Bitcoin in the past, recent policy indications suggest a shift toward strategic retention. In March 2025, US President Trump issued an Executive order to launch a Bitcoin Strategic Reserve and Digital Asset Stock Pile, providing a clear framework to integrate future crypto seizures into the national treasury.
SUBBD Presale Crosses $1.2M US Bitcoin Seizure Boosts Investor Sentiment
The US government’s $14 billion Bitcoin forfeiture case reinforces investor confidence and boosts demand for new projects like SUBBD ($SUBBD).
SUBBD combines AI-powered personalization with creator monetization, allowing influencers and brands to manage fan engagement through decentralized, blockchain-backed channels. The platform positions itself as a bridge between social media and Web3 identity, appealing to investors seeking innovation beyond speculative trading.
SUBBD presale
The SUBBD presale has raised $1.2 million out of its $1.4 million target, with tokens currently priced at $0.056 each on the official website. With less than 24 hours before the next price unlock, prospective participants now have limited time to secure early-holder benefits.
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Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Ibrahim Ajibade is a seasoned research analyst with a background in supporting various Web3 startups and financial organizations. He earned his undergraduate degree in Economics and is currently studying for a Master’s in Blockchain and Distributed Ledger Technologies at the University of Malta.
Ibrahim Ajibade on LinkedIn
