Crypto Scam Alert: How $36.9 Million Was Stolen
In a major crackdown, a U.S. court sentenced Jingliang Su, a 45-year-old Chinese national, to 46 months in federal prison for laundering over $36.9 million in funds stolen through fake cryptocurrency investment schemes. Operating from Cambodia, Su and his co-conspirators targeted unsuspecting Americans, shedding light on the sophisticated tactics scammers use in a digital world.
The Operation: Fake Platforms and Fake Profits
The elaborate scheme started with fraudsters reaching out to victims via social media platforms, dating apps, text messages, and phone calls. After gaining the victims’ trust, scammers introduced enticing cryptocurrency investment opportunities through fake trading websites.
These fraudulent platforms mimicked legitimate ones, displaying fake profits to lure victims into depositing more money. In reality, their funds were already siphoned off and laundered through a complex network.
How the Money Flowed
From the victims, the money was routed through U.S.-based shell companies to an account at Deltec Bank in the Bahamas. Once converted to the stablecoin USDT (Tether), the funds were sent to digital wallets in Cambodia. From there, the scam’s operators collected the stolen money, leaving victims devastated.
Justice Served
Jingliang Su pleaded guilty in June 2025 to conspiracy to operate an illegal money-transmitting business. Along with his sentence, the U.S. District Judge R. Gary Klausner ordered Su to pay $26.8 million in restitution. To date, eight co-conspirators have also pleaded guilty, with sentences ranging from 36 to 51 months in prison.
Assistant Attorney General A. Tysen Duva emphasized, “In the digital age, criminals have found new ways to weaponize the internet for fraud.” The case, part of the Department of Justice’s efforts against international scam networks, highlights the growing sophistication of cybercrimes.
How You Can Stay Safe
The rapid rise of cryptocurrency has brought new investment opportunities but also new risks. To protect yourself, always verify the credibility of trading platforms and investment opportunities. Look for platforms that are licensed and regulated. For instance, Coinbase offers a secure way to trade and invest in cryptocurrencies and is fully compliant with U.S. regulations.
Additionally, enable two-factor authentication (2FA) on your accounts and limit personal information shared on public platforms.
The Bigger Picture
Since 2020, the Department of Justice, alongside agencies like the U.S. Secret Service, Homeland Security Investigations, and others, has convicted over 180 cybercriminals and recovered more than $350 million for scam victims. While digital assets offer exciting prospects, this case underscores the critical need for vigilance in an increasingly interconnected world.
