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According to the official website of the U.S. Department of Justice, the United States Attorney's Office for the Eastern District of Texas announced that a Chinese national, Fei Liao, has been sentenced to federal prison for participating in the laundering of funds obtained from a cryptocurrency investment scam. He pleaded guilty to conspiracy to commit money laundering and was sentenced to 40 months in prison by U.S. District Judge J. Campbell Barker in 2026.Liao was also ordered to forfeit over $2.3 million in seized funds and to pay more than $2.8 million in restitution to victims. The case was announced by U.S. Attorney Jay R. Combs for the Eastern District of Texas and was investigated by the Tyler branch of the United States Secret Service, with federal prosecutor Robert Austin Wells handling the prosecution. Court documents show that Liao assisted in laundering funds from "Pig Butchering" and other cryptocurrency investment scams by setting up shell companies and bank accounts with others.Such scams typically contact victims through social media, dating platforms, or unsolicited phone calls, establishing a trust relationship before inducing them to invest in cryptocurrency. After victims transfer funds to accounts controlled by the scammers, the fraudulent platform displays high returns, encouraging further investment, ultimately leading to victims being unable to withdraw funds and suffering significant losses.Law enforcement agencies remind individuals that if they encounter similar scams, they can report them to the Internet Crime Complaint Center (IC3) and provide as much information as possible, including the name of the investment platform, cryptocurrency addresses, transaction hashes, bank account information, and contact details of the suspects, while also retaining communications and transfer records with the scammers.

According to Decrypt, a 24-year-old man from Connecticut, Elmin Redzepagic, faces up to 375 years in prison for allegedly embezzling nearly $1 million in cryptocurrency investor funds to gamble on the Stake platform.Prosecutors accuse him of posing as a cryptocurrency investment expert working for a market master named "The Chef," promising clients high returns while actually using the funds for gambling. Last month, a federal grand jury indicted him on 21 counts, including 7 counts of wire fraud, 11 counts of international money laundering, and 3 counts of making false statements to IRS criminal investigators.On Thursday, Redzepagic pleaded not guilty to all charges and was released on a $500,000 bail.

The U.S. Department of Justice officially released a typical case, sentencing Ramil Ventura Palafox, CEO of Praetorian Group International, to 20 years in prison for a $200 million Bitcoin Ponzi scheme, having been convicted of wire fraud and money laundering for operating a Ponzi scheme that defrauded over 90,000 investors worldwide.The 61-year-old Ramil Ventura Palafox holds dual citizenship in the United States and the Philippines, operating Praetorian Group International (PGI) as its chairman and CEO. Palafox falsely claimed that PGI was engaged in Bitcoin trading and promised daily returns of 0.5% to 3%. However, the scale of PGI's Bitcoin trading was insufficient to meet the promised returns, constituting a Ponzi scheme.From December 2019 to October 2021, at least 90,000 investors worldwide invested over $201 million in PGI, including at least $30.295289 million in fiat currency and at least 8,198 Bitcoins valued at $171.498528 million. Due to Palafox's actions, investors suffered total losses of at least $62.692007 million.

According to Coindesk, the U.S. District Court for the Eastern District of New York sentenced former SafeMoon CEO Braden John Karony to 8 years in prison this Tuesday. Braden was found guilty of multiple federal charges last year for committing fraudulent acts against investors in his digital asset business.According to the U.S. Department of Justice's allegations, Karony was involved in manipulating the price of SafeMoon tokens and stole millions of dollars through illegal liquidity control of the company. After a three-week trial, he was convicted of conspiracy to commit securities fraud, wire fraud, and money laundering. Co-conspirator Thomas Smith pleaded guilty to conspiracy to commit securities fraud and wire fraud in February 2025 and has not yet been sentenced. Another alleged co-conspirator in the SafeMoon fraud case, Kyle Nagy, is still wanted by authorities.It is reported that SafeMoon (SFM) is a cryptocurrency token launched in March 2021, born during the last bull market's meme coin and DeFi craze. Its tokenomics stipulate a 10% tax on each transaction, with a portion (usually 5%) automatically distributed to all holders, another portion added to the liquidity pool, tokens burned to create deflation, and a part allocated for project development. The design concept is to "encourage holding and punish selling," allowing holders to passively earn tokens, with hopes that the price can "safely go to the moon." Its market cap once reached $1 billion, attracting a large number of retail investors and FOMO players. Subsequently, the project contract was hacked, the team was accused of fraud, manipulating liquidity, and misappropriating funds. After a prolonged decline, its current market cap is only $2.08 million.

The U.S. Department of Justice announced that a man named Daren Li, who holds dual citizenship in China and Saint Kitts and Nevis, was sentenced in absentia to the maximum statutory sentence of 20 years in prison, along with 3 years of supervised release, by the U.S. District Court for the Central District of California on February 9 local time, for his involvement in a global cryptocurrency investment fraud scheme involving over $73 million.The Department of Justice stated that the 42-year-old Li pleaded guilty in November 2024, admitting to participating in a transnational cryptocurrency investment fraud and money laundering conspiracy operating from a scam hub in Cambodia. However, he fled after cutting off his electronic ankle monitor in December 2025 and is currently still at large.Prosecutors revealed that the fraud ring actively contacted victims through social media, phone calls, text messages, and online dating platforms to establish "professional or romantic relationships" to gain trust, and used fake cryptocurrency trading platforms and phishing websites to lure victims into investing in false projects. In some cases, they also impersonated customer service or technical support personnel, deceiving victims into transferring funds or moving cryptocurrency assets under the pretext of "fixing viruses."According to the plea agreement, Li and his accomplices caused at least $73.6 million in victim fund losses, of which $59.8 million was laundered through U.S. shell company accounts and further converted into cryptocurrency to conceal the sources and flows of the funds. Li was found to have directly participated in the final receipt and control of the victim funds.So far, 8 accomplices have pleaded guilty, and Li is the first defendant to be sentenced for directly receiving the illicit funds. The case is being investigated by the U.S. Secret Service with assistance from law enforcement agencies in multiple countries. The U.S. Department of Justice stated that it will continue to promote international cooperation in an effort to extradite Li back to the U.S. to serve his sentence.

According to Yonhap News Agency, the first case of violation of the "Virtual Asset User Protection Act" in South Korea has been sentenced. The Seoul Southern District Court sentenced the CEO of a cryptocurrency trading company to 3 years in prison for manipulating coin prices, along with a fine of 500 million won (approximately 385,000 USD) and the recovery of about 846 million won (approximately 650,000 USD). However, considering Mr. Lee's active cooperation during the trial and his prior detention, the court decided not to revoke his bail and did not detain him.The court found that between July and October 2024, he used an automated trading program to inflate trading volume and repeatedly placed false buy orders to manipulate prices, with improper gains amounting to about 7.1 billion won (approximately 5.46 million USD). This case is the first to be transferred by the prosecution through the financial regulatory "fast track" since the law took effect in July 2024.

According to CoinDesk, a statement from the U.S. Attorney's Office for the Southern District of New York revealed that Rui-Siang Lin, the alleged operator of the dark web drug marketplace Incognito Market, was sentenced to 30 years in federal prison on Tuesday. This marks the conclusion of one of the largest cases involving an online drug market since the Silk Road case.U.S. prosecutors stated that the operators of the dark web market Incognito Market used cryptocurrency and anonymous tools to conceal their identities, but investigators ultimately linked them to the platform through domain records and digital footprints. Rui-Siang Lin operated under the online alias "Pharaoh." He pleaded guilty in December 2024 to multiple charges, including conspiracy to commit drug offenses, money laundering, and conspiracy to sell adulterated and falsely labeled drugs. Prosecutors indicated that the platform facilitated over $105 million in illegal drug transactions between October 2020 and March 2024, completing more than 640,000 transactions and serving hundreds of thousands of buyers worldwide.

According to market news, a 45-year-old Chinese man, Jingliang Su, has been sentenced to nearly four years in prison by a U.S. federal court for his involvement in a cryptocurrency money laundering case involving $37 million, and has been ordered to pay over $26 million in restitution.According to a statement from the U.S. Attorney's Office for the Central District of California, Su is a member of a global criminal network. This network contacted U.S. victims through text messages, phone calls, and online dating, using fake websites that impersonated legitimate cryptocurrency trading platforms to lure them into fraudulent cryptocurrency investments. The victims' funds were then laundered through U.S. shell companies, digital asset wallets, and international bank accounts. Prosecutors stated that over $36.9 million was ultimately transferred to an account at Deltec Bank in the Bahamas and converted to USDT, which was then transferred by co-conspirators in Cambodia to the heads of scam centers in the region. The government has confirmed 174 U.S. victims. Including Su, a total of 8 individuals involved have pleaded guilty.

The U.S. Attorney's Office for the Central District of California has announced that a suspect involved in a large-scale cryptocurrency money laundering scheme has been sentenced. Jingliang Su, a 45-year-old Chinese national, was sentenced to nearly 4 years in federal prison on Tuesday local time for his role in laundering nearly $37 million in illegal digital assets, and he was ordered to pay over $26 million in restitution.Prosecutors noted that Jingliang Su was a member of a transnational criminal network that contacted U.S. victims through text messages, phone calls, and online dating platforms, luring them into participating in fraudulent cryptocurrency investments. Victims were directed to counterfeit websites of legitimate trading platforms and were falsely informed that their investments were generating profits, while the actual funds were being transferred and embezzled.Investigations revealed that the relevant funds were laundered through U.S. shell companies, digital asset wallets, and international bank accounts, with approximately $36.9 million ultimately being wired to an account at Deltec Bank in the Bahamas and converted to USDT. Subsequently, accomplices located in Cambodia transferred the USDT to the masterminds behind the regional scam centers.The U.S. government has confirmed at least 174 American victims. Jingliang Su had previously pleaded guilty in June to a charge of "conspiracy to operate an illegal money transmitting business." A total of 8 individuals involved in the case have pleaded guilty, including another suspect who has been sentenced to over 4 years in prison.

The U.S. Department of Justice reported that a 45-year-old Chinese national, Su Jingliang, was sentenced to nearly 4 years of federal prison for participating in a scheme that laundered nearly $37 million in proceeds from a cryptocurrency fraud, and was ordered to pay over $26 million in restitution.Prosecutors stated that the transnational criminal network he was part of lured American victims into fake cryptocurrency investments through text messages, phone calls, and online dating platforms, and implemented fraud using counterfeit trading websites. The related funds were circulated through U.S. shell companies, cryptocurrency wallets, and international bank accounts, ultimately resulting in approximately $36.9 million being transferred to Deltec Bank in the Bahamas and converted to USDT, which was then moved by accomplices in Cambodia. A total of 174 American victims were confirmed in the case.

According to Decrypt, the Crown Prosecution Service (CPS) in the UK has informed Sen Hok Ling, who provided funding and assistance to the convicted Bitcoin fraudster Qian Zhimin, that he must pay over $7.6 million (£5 million) within three months, or he will face re-imprisonment and an additional 8-year sentence.Sen Hok Ling is a Malaysian citizen who pleaded guilty in 2025 to a money laundering charge and was sentenced to nearly five years in prison. Between February and April 2024, he received 83.7 Bitcoins from Qian Zhimin and converted them into cash through bank accounts in the UAE and third parties. The civil disposal proceedings involving 61,000 Bitcoins under Qian Zhimin's name are still ongoing.

According to DLNews, the Daegu District Court in South Korea sentenced the 41-year-old head of an illegal cryptocurrency exchange to five years in prison for laundering $1 million for an overseas voice scam gang using USDT. A 35-year-old employee of the exchange was also sentenced to two years and eight months in prison.The criminal gang contacted victims via Telegram, posing as law enforcement and family members to trick them into transferring money, which was then quickly exchanged for USDT, all within an hour, preventing banks from freezing the accounts in time. Judge Lee Yong-cheol described this as a "serious crime" and pointed out that the defendant took no measures to compensate the victims for their losses. South Korean lawmaker Kim Seong-jun called for stronger regulation of stablecoins to address new types of foreign exchange crimes.

According to the U.S. Department of Justice, a man from Utah has been sentenced to three years in federal prison for involvement in cryptocurrency-related fraud. 54-year-old Brian Garry Sewell (from Washington County, Utah) was sentenced to 36 months in prison after pleading guilty to operating an illegal cash-for-cryptocurrency business and defrauding investors of approximately $2.9 million. He will also face three years of supervised release after completing his sentence.The court also ordered him to pay over $3.8 million in restitution to compensate the victimized investors and the U.S. Department of Homeland Security. Prosecutors revealed that from December 2017 to April 2024, Sewell deceived at least 17 investors by fabricating his experience, educational background, and high return capabilities.The head of the FBI's Salt Lake City field office stated that Sewell profited from false promises, causing significant financial losses to multiple individuals and families. The investigation into the case began in 2020 and took nearly five years to conclude. Prosecutors noted that Sewell's illegal cash-for-cryptocurrency operations transferred over $5.4 million through his controlled Rockwell Capital Management, forming a crucial basis for subsequent criminal charges.

According to DL News, a South Korean drug lord born in the 2000s, who used cryptocurrency for money laundering and drug trafficking, was sentenced to 20 years in prison and fined $4.2 million by the Ulsan District Court.Three of his accomplices received prison terms ranging from 30 months to three years. The court found that the drug lord operated multiple drug sales channels through the Telegram chat application since March 2020, primarily selling drugs smuggled from Vietnam. His gang used international courier services to smuggle drugs and distributed them through "dead drops" (hiding drugs in public places and notifying buyers to collect them). Transaction payments and distribution commissions were completed using cryptocurrencies like Bitcoin, while laundering drug money involved approximately $4 million.

The Russian Ministry of Justice recently submitted a draft amendment to the Criminal Code aimed at combating unregistered illegal cryptocurrency mining activities in the country.According to the draft, illegal mining activities will face fines of up to 1.5 million rubles (approximately $19,000) or up to two years of compulsory labor. If illegal mining activities involve substantial profits, the maximum prison term can reach 5 years, along with fines of up to 2.5 million rubles (approximately $31,800) or 480 hours of compulsory labor. The amendment also sets penalties of up to 5 years of imprisonment or compulsory labor for substantial profits realized by illegal "organized groups." Russian Deputy Finance Minister Ivan Chebeskov stated that as of June 19, 2025, only about 30% of cryptocurrency miners have completed registration and achieved operational legalization, while most practitioners remain in the "gray area." According to current regulations, individual miners with a monthly electricity consumption of less than 6,000 kilowatt-hours are not required to register but still need to pay personal income tax.

According to DL News citing the South Korean media Dailian, the South Korean Supreme Court upheld a four-year prison sentence for an employee of a cryptocurrency exchange for assisting North Korean hackers in recruiting a South Korean Army captain, attempting to exchange Bitcoin for military secrets.The employee involved received $487,000 worth of Bitcoin from the North Korean hackers as payment and paid the captain $33,500 worth of Bitcoin as a reward. The court found that the employee violated the National Security Law, and their actions could jeopardize national security. The implicated captain had previously been sentenced to ten years in prison and fined for violating the Military Secrets Protection Act.Investigations revealed that the North Korean hackers instructed the employee to provide the implicated captain with a "watch-shaped hidden camera" and USB hacking devices intended for implanting into military laptops, attempting to remotely access the Korea-U.S. joint command control system, but failed to succeed.The implicated captain had previously been sentenced to ten years in prison and fined for violating the Military Secrets Protection Act.

The Supreme Court of South Korea ruled that an employee of a cryptocurrency trading platform was sentenced to 4 years in prison and banned from engaging in financial-related industries for 4 years for receiving Bitcoin funds provided by North Korea, planning and enticing South Korean officers to sell military secrets.The court found that North Korean hackers paid the trading platform employee approximately $487,000 in Bitcoin to "recruit" active-duty South Korean officers; the involved army captain received about $33,500 in Bitcoin. The judge pointed out that the defendant was aware that the actions involved a hostile country and that the related actions could jeopardize national security, motivated by personal financial gain. The captain had previously been sentenced to 10 years in prison and fined $35,000 for violating the Military Secrets Protection Act, while the trading platform employee was convicted of violating the National Security Act. The case revealed that the involved individuals had contacted officers through Telegram chat rooms and provided covert cameras disguised as watches and USB intrusion devices, attempting to steal login information for the Korea-U.S. joint command and control system.

According to Dlnews, a South Korean man was sentenced to a heavier punishment by the court when he appealed for a reduced sentence after laundering $68,000 for a voice phishing gang using cryptocurrency.The man originally received a two-and-a-half-year prison sentence with a four-year probation from the local court. Dissatisfied with the ruling, he appealed to the Suwon High Court, which resulted in the revocation of his probation and a direct sentence of four years in prison. The court found that the defendant was not merely a participant but played a "key role" in the voice phishing gang, having referred to himself as the "person in charge" and receiving daily operational reports from the gang.Members of the gang impersonated prosecutors, warning victims that their identities had been stolen, and induced them to transfer funds into "safe" accounts, which were then converted into cryptocurrency and sent to addresses abroad. The court noted that the defendant had a criminal record and had not learned from his past, making it "highly likely" that he would commit similar crimes again, thus imposing a severe punishment. Under South Korean law, the defendant can still appeal to the Supreme Court.

According to The New York Times, Sam Bankman-Fried, the founder of the cryptocurrency exchange FTX, who has been sentenced to over 20 years, has become a "prison lawyer" in jail, providing legal advice to multiple inmates.The report shows that SBF has provided legal consulting services to several inmates, including former Honduran President Juan Orlando Hernández, music producer Sean Combs (Diddy), and Chinese exile businessman Guo Wengui. He advised Hernández to testify on his own behalf during the trial, and although he ultimately lost, Hernández's wife still expressed gratitude.In an interview, SBF stated that the standards for federal defense are "shockingly low," and he believes he is not replacing lawyers but that lawyers "were not doing much to begin with." Many lawyers are unable to give enough attention to clients due to the overwhelming number of cases.Currently, SBF is serving his sentence in a California prison while appealing his case and seeking a presidential pardon.