EDNY Seeks Seizure of 127,271 Bitcoins ($12B) Linked to Chen Zhi’s Cross‑Border “Pump-and-Dump” Scheme

COINOTAG News reported on October 14 that the Eastern District of New York (EDNY) disclosed the United States is seeking to seize 127,271 bitcoins (approximately $12 billion) linked to a cross-border pump-and-dump scheme allegedly operated by Chinese national CHEN ZHI.

The filing underscores ongoing asset-forfeiture efforts in cryptocurrency fraud cases, with prosecutors pursuing seized digital assets as potential proceeds of unlawful activity; court proceedings in EDNY will adjudicate claims and determine any restitution or forfeiture in accordance with applicable jurisdiction and evidentiary standards.