Taiwanese prosecutors have indicted 14 individuals in the largest cryptocurrency money laundering case, affecting over 1,500 victims and more than $70 million in illicit funds.
Charges of Money Laundering
The Shilin District Prosecutors Office filed charges of fraud, money laundering, and organized crime. The charges involve funds totaling NT$1.27 billion (approximately $39.8 million) allegedly obtained from victims. Prosecutors are also seeking to confiscate assets including 640,000 USDT, undisclosed Bitcoin and Tron holdings, $1.8 million in cash, and two luxury vehicles. About $3.1 million in bank deposits have already been frozen.
Prosecutor Actions
Authorities stated that the group was led by Shi Qiren, who could face a 25-year sentence. Prosecutors claim that Shi, his wife, and an associate surnamed Yang established over 40 storefronts under the names CoinW and CoinThink Technology Co. starting in 2024. The businesses collected millions in franchise fees and operated deposit machines to gather cash from victims. Investigators allege that the group posed as the only firm authorized by Taiwan’s Financial Supervisory Commission (FSC), deceiving 1,539 people into paying $71.9 million through fees and deposits.
Reactions and Aftermath
The indictment also cited a related fraud where another suspect, surnamed Gu, allegedly tricked Shi into paying $93,000 for false assurances of securing anti-money laundering registration. CoinW denied any link to the case, stating that 'its management has never been involved in any illegal activities.' Taiwanese authorities have increased scrutiny of the crypto sector, working in tandem with local and international regulators to track illicit financial flows, often involving stablecoins like USDT.
The Shilin prosecutors' office stated it will continue pursuing the recovery of stolen funds and has requested courts to impose severe penalties on those refusing to admit wrongdoing, while offering reduced sentences for defendants willing to return illicit gains.
