Fugitive Sentenced to 20 Years for $73 Million Crypto Scam
A dual national of China and St. Kitts and Nevis, Daren Li, has been sentenced in absentia to 20 years in prison by a federal judge in California for his involvement in a massive international cryptocurrency scam that defrauded victims of $73 million. Li, who is currently a fugitive after removing his electronic monitoring device, will also serve three years of supervised release.
Key Takeaways
- Daren Li, a fugitive, was sentenced to 20 years in prison for a $73 million crypto scam.
- The scam operated from Cambodia, a known hub for "pig butchering" schemes.
- Li pleaded guilty to conspiring to launder funds obtained from American victims.
- The Justice Department is working with international law enforcement to apprehend Li.
The International Crypto Conspiracy
Daren Li and his accomplices orchestrated an international cryptocurrency investment scam, successfully laundering over $73 million stolen from American victims. The operation, based in Cambodia, exploited victims through sophisticated social engineering tactics. Assistant Attorney General A. Tysen Duva stated that the Justice Department's Criminal Division is collaborating with global law enforcement to locate and bring Li to justice to serve his full sentence.
Scam Tactics
Li pleaded guilty in November 2024 to conspiring to launder funds acquired through crypto scams and related fraud. His plea agreement detailed how he and his associates would initiate contact with potential victims through unsolicited social media messages, phone calls, and online dating services. They focused on building trust by establishing professional or romantic relationships before luring victims into using fake investment platforms that mimicked cryptocurrency trading.
In other instances, the scam artists posed as tech support personnel. They would convince victims to transfer funds via wire or cryptocurrency to address fabricated computer issues, such as non-existent viruses.
Cambodia's Role in Crypto Scams
Cambodia has emerged as a significant center for "pig butchering" crypto scams, reportedly generating over $30 million daily through forced labor compounds. Reports indicate that since 2021, companies linked to Cambodia have seen over $96 billion in cryptocurrency flow through them, much of which is suspected to be used for money laundering and fraudulent activities. Social engineering scams, including fake investment offers and impersonation, were identified as the leading threat to crypto users in 2025, accounting for nearly 41% of all crypto security incidents and resulting in billions of dollars in losses.
