Vietnamese Man Charged in $16 Million Crypto “Pig Butchering” Money-Laundering Scheme
A Vietnamese man has been charged with money laundering for his alleged role in a massive cryptocurrency “pig butchering” scam that defrauded victims of approximately $16 million in virtual currency.
Suspect Arrested Before Flight to Taiwan
Trung Nguyen Van, 37, entered the United States through the San Ysidro, California–Mexico pedestrian border crossing on September 22. He was arrested before boarding a flight from Los Angeles International Airport to Taiwan on September 24.
One victim believed he was investing in a cryptocurrency investment platform called “Triangle.” Between June and August 2024, the victim sent approximately $16 million in virtual currency through directly traceable transfers to Van’s cryptocurrency wallet.
After receiving the funds, the defendants allegedly transferred the cryptocurrency to a private, unhosted wallet outside the centralized blockchain network.
Wallet Linked to More Than $53 Million in Crypto Transfers
According to court documents, the charges are connected to a broader wire-fraud scheme involving more than $125 million in cryptocurrency. Van’s wallet received more than $53 million in virtual currency between February 2018 and December 2024, including at least $24 million in crypto assets linked to a known “pig butchering” scheme.
“From February 9, 2018 to December 17, 2024, Van’s cryptocurrency wallet received approximately $53,275,939 in virtual currency assets in a wire fraud scheme targeting U.S. citizens. The wallet transferred the same virtual currency assets valued at approximately $53,188,466 from a centralized blockchain network to other accounts,” the U.S. Department of Justice stated.
How Crypto Pig-Butchering Scams Work
“Each victim reported a similar story, although each victim was instructed to transfer their cryptocurrencies to a different website. In each of these schemes, victims were lured by someone they met online into investing their cryptocurrencies on a particular ‘website’ with the promise of high financial returns. Ultimately, each victim was unable to withdraw their invested funds and it was discovered that they had been duped.”
Also known as crypto investment scams or romance-baiting scams, pig-butchering schemes typically begin when criminals contact targets through social media, dating websites, or messaging apps. The scammers build a relationship and establish trust before directing victims to a fake cryptocurrency investment platform.
Rather than investing the money, the criminals transfer the funds to cryptocurrency accounts they control. Victims often discover the fraud only after they are unable to withdraw their purported investments.
Crypto Investment Fraud Continues to Rise
The Federal Bureau of Investigation said in its 2025 Internet Crime Report that Americans lost approximately $21 billion to cybercrime during the year. Investment fraud accounted for 49% of all fraud-related incidents and caused $8.6 billion in reported losses.
In February, a Chinese man was sentenced in absentia to 20 years in prison for his role in an international pig-butchering scheme that defrauded victims of more than $73 million. The sentence came months after U.S. federal authorities established the Scam Center Strike Force to disrupt a Chinese cryptocurrency fraud network.
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Source: www.bleepingcomputer.com