Thai and Chinese Police Seize $2.5 Million in USDT from Scam Operation

Thai and Chinese law enforcement authorities have detained two Chinese individuals and confiscated $2.5 million in Tether's USDT stablecoin, destroying a large-scale Ponzi enterprise. The arrests, which occurred on February 5, highlight the efficacy of international coordination in tackling cryptocurrency-related crimes.

The defendants, Ye Wanyou, 29, and Li Weijie, 30, were captured at a luxurious apartment in Bangkok. Upon arrest, they attempted to remove data from their phones but were quickly apprehended by officials. Initial investigations resulted in the seizure of assets totaling $44,550. Additional coordination with Chinese authorities resulted in the freezing of $2.5 million USDT kept in concealed digital wallets.

A spokeswoman for Tether remarked on the operation, saying, “With Tether, every action is online, every transaction is traceable, every asset can be seized, and every criminal can be caught.” This statement emphasizes the openness and traceability inherent in blockchain-based transactions, which can help law enforcement follow down unlawful acts.

The inquiry also turned up evidence that the suspects were involved in human trafficking activities along Thailand's border with Myanmar, notably in the Mae Sot region of Tak province. Authorities located prospective offices in Phnom Penh, Cambodia, and detected fraudulent goods sales activities in Thailand.

Police Lieutenant General Siam Boonsom, Commissioner of the Metropolitan Police Bureau, said that the two men had been charged with public fraud. Authorities oppose bail, and the investigation is ongoing, including efforts to find and capture any collaborators.

This investigation is part of a larger trend of international collaboration against cryptocurrency-related crimes. In mid-December 2024, the Nigerian Economic and Financial Crimes Commission detained approximately 800 people nationally in connection with crypto romance scams, with a large number of Chinese nationals implicated.

Furthermore, in February, Hong Kong police intercepted more than $3.37 million (HK$34 million) in scam earnings as part of an extensive investigation that targeted victims using artificial intelligence.

These cases highlight the growing necessity for international cooperation and cutting-edge technology solutions to combat the rising tide of cryptocurrency-related crimes. The traceability of blockchain transactions, as proved in the recent Thai-Chinese operation, is critical to these efforts, allowing authorities to monitor and collect illegal assets more efficiently.