A US court sentenced a dual national of China and St. Kitts to 20 years in U.S. federal prison for orchestrating a $73 million global cryptocurrency fraud and laundering scheme.
A federal judge in California has sentenced Daren Li, who is a fugitive after removing an ankle electronic monitoring device in December, in absentia for his involvement in an international crypto investment conspiracy scheme conducted from scam centers in Cambodia.
U.S. prosecutors said the operation targeted American victims using social media, dating apps, and fake trading platforms, according to a statement from the Justice Department’s Office of Public Affairs.
Prosecutors said Li and at least eight alleged accomplices created fake domains and websites designed to mimic legitimate trading platforms, using them to promote fraudulent cryptocurrency investments after building trust with victims in what authorities describe as “pig butchering” or phishing schemes. The group allegedly fostered professional or romantic relationships with victims through unsolicited messages before convincing them to send funds to accounts under the conspirators’ control.
According to court records, Li pleaded guilty in November 2024 in the Central District of California to a money-laundering conspiracy connected to a cryptocurrency investment fraud and is the first beneficiary of victim funds in the case to receive a sentence, with eight co-conspirators having already entered guilty pleas.
Prosecutors said at least $73.6 million in victim funds flowed into accounts associated with the syndicate, including roughly $59.8 million — representing 81% of the loot — funneled via U.S.-based shell companies before being converted into cryptocurrency to conceal the audit trail.
“The Court’s sentence reflects the gravity of Li’s conduct, which caused devastating losses to victims throughout our country,” said Assistant Attorney General A. Tysen Duva, adding that federal authorities would “work with our law enforcement partners around the world to ensure that Li is returned to the United States to serve his full sentence.”
Cryptocurrency scams and phishing attacks increased in January 2026, with losses reaching $370 million — the highest monthly total in nearly a year — as per data from blockchain security firm CertiK. Phishing schemes accounted for the bulk of the losses, totaling $311 million, including one major social engineering attack in which a single victim lost approximately $284 million.
