Sanctioned Billionaire Chen Zhi Transfers $1.8B in Bitcoin Amid DOJ Probe

A Bitcoin wallet linked to Chen Zhi, the sanctioned Cambodian billionaire and head of the Prince Group, has transferred nearly 16,000 Bitcoins—valued at approximately $1.83 billion—to four different addresses. The move, detected by blockchain analytics platforms Arkham Intelligence and Onchain Lens, has drawn renewed scrutiny from regulators and market watchers as U.S. authorities intensify investigations into large-scale crypto-related financial crimes.

According to the data, two major transactions of 4,999 BTC each, worth about $540 million apiece, were sent to separate wallets. Two additional transfers—3,424 BTC and 2,535 BTC—amounting to roughly $644 million combined, followed soon after. The wallet, which had been inactive for over three years, suddenly became active last week, triggering speculation about whether the movement was linked to the U.S. Department of Justice’s (DOJ) recent forfeiture announcement.

Just a day before these transfers, the DOJ revealed one of the largest cryptocurrency forfeiture cases in history, seeking to seize approximately $14.4 billion in Bitcoin allegedly tied to Chen Zhi and his associates. Court filings claim the billionaire and his network laundered illicit proceeds through large-scale Bitcoin mining operations, including Warp Data in Laos, its Texas-based subsidiary, and LuBian in China. The latter was once among the world’s top mining pools, ranking sixth globally in 2020.

Arkham’s analysis suggests that the 11,886 BTC recently reactivated may be connected to assets stolen during the 2020 LuBian hack, when attackers drained 127,426 BTC—then worth roughly $3.5 billion. Those same coins were reportedly transferred into recovery wallets earlier this year, raising suspicions that Chen Zhi’s recent activity may represent an internal reallocation or a strategic response to ongoing investigations.

The timing of the transactions has unsettled some market participants, coming amid a volatile week for Bitcoin. After a brief rally on Monday, Bitcoin’s price fell nearly 4%, sliding from $114,000 to the $108,000 range. Analysts at Standard Chartered warn that a drop below $100,000 “seems inevitable” in the near term, citing technical weakness and pressure from institutional liquidations. However, Geoffrey Kendrick, head of crypto research at the bank, suggested that any decline could prove temporary, framing it as a potential buying opportunity.

The intersection of Chen Zhi’s legal troubles and Bitcoin’s price turbulence highlights how large-scale financial movements can ripple through both regulatory and market ecosystems. With the DOJ tightening oversight and global authorities monitoring related wallets, the billionaire’s latest activity could have broader implications for crypto transparency and enforcement.

As U.S. regulators pursue forfeiture of billions in assets tied to alleged money laundering schemes, Chen Zhi’s sudden transfer of $1.8 billion in Bitcoin stands as a reminder of how digital currencies continue to test the limits of international financial control.