Chinese Authorities Clamp Down on Crypto Money Laundering Network

Beijing has intensified its efforts to combat financial crime by repatriating key figures involved in a vast money laundering operation. Li Xiong, a senior associate of Chen Zhi, was brought back from Cambodia under an agreement between Chinese and Cambodian authorities.

The move follows the earlier return of Chen himself, who was accused of operating casinos, fraud, and concealing criminal proceeds. Li's Huione Group has been linked to online scams and money laundering networks across South-east Asia, with researchers estimating that its crypto wallets processed over $24 billion in transactions since 2021.

The network's alleged activities have raised concerns about its proximity to political and business elites in Cambodia. A key figure in the operation, Hun To, was identified as a cousin of Cambodian Prime Minister Hun Manet and had previously been suspected by Australian police of involvement in heroin trafficking and money laundering.