Thai Authorities Bust $31M Crypto Ponzi Scheme with Arrest of Chinese National

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Well, here’s a fun one: Thai police just nabbed a Chinese national in Bangkok for allegedly running a crypto Ponzi scheme that swindled nearly 100 investors out of over $31 million. Don’t you just love the smell of corruption in the morning? 🤑

This arrest marks a significant milestone in one of the largest decentralized finance (DeFi) exit scams of 2023. You know, the kind that makes you want to stay far, far away from all things “blockchain”-unless, of course, you’re looking to start a new scam yourself. But I digress…

How the Crypto Ponzi Scheme Operated

So, here’s the deal. On Wednesday, Liang Ai-Bing-one of the five mastermind suspects behind the FINTOCH platform-was arrested in his fancy residence in the Wang Thonglang district. A joint intelligence effort between Thai and Chinese authorities led to this victory for justice, or at least it’s the beginning of the end for the scam.

The FINTOCH platform, operating between December 2022 and May 2023, presented itself as a legitimate investment opportunity in decentralized finance. They even had the audacity to claim they were somehow affiliated with Morgan Stanley. Spoiler alert: they weren’t. In fact, Morgan Stanley officially denied any association in 2023. This scam featured a “CEO” named Bob Lambert, who, fun fact, had a photo that was actually of actor Mike Provenzano. Nothing says ‘legit’ like using someone else’s headshot. 😂

Chinese authorities have named four other suspects: Ai Qing-Hua, Wu Jiang-Yan, Tang Zhen-Que, and Zuo Lai-Jun. Zuo was arrested in China and, for reasons unclear to me, released on bail. The rest? Oh, they fled. The platform promised investors daily returns of 1%, which, if you know anything about the crypto world, is the financial equivalent of offering people free candy outside a dentist’s office. Yikes.

Tracking the Crypto Ponzi Scheme Exit Scam

The man, the myth, the legend, ZachXBT-an on-chain investigator-played a crucial role in busting the whole thing wide open in May 2023. His investigation revealed that the FINTOCH team withdrew $31.6 million in USDT from Binance Smart Chain, before bridging the funds to various addresses on Tron and Ethereum. All that, and still no one could withdraw their “investments.” The scam was like watching someone pack up a circus tent after the show, except the audience was still holding tickets. 🎪

It appears the team behind the ponzi @DFintoch has likely exit scammed with 31.6m USDT on BSC after the funds were bridged to multiple addresses on Tron/Ethereum and
people reported being unable to withdraw

Fintoch advertised 1% daily ROI & claimed to be owned by Morgan Stanley

– ZachXBT (@zachxbt) May 23, 2023

Bug bounty platform Immunefi reported that this whole debacle contributed to a 63% increase in cryptocurrency losses during Q2 2023, compared to the same period in 2022. It’s like getting an alert that your entire bank account has been drained, and then realizing you never even had any money to begin with. Ouch.

During the arrest operation, authorities discovered an illegal firearm in Liang’s residence, leading to additional charges for illegal entry into Thailand and possession of an unregistered weapon. Now Liang’s facing charges for more than just crypto fraud-he’s got a full-blown criminal menu to choose from. 🍽️

Cross-Border Enforcement Challenges

The FINTOCH case really underscores the complexities of chasing down cryptocurrency fraud. It’s like playing hide-and-seek across continents. While Thai and Chinese authorities managed to locate Liang, his months-long game of “catch me if you can” involved bouncing between borders. But don’t worry, they’re working on his extradition now, so hopefully, he’ll get to test out some new prison food soon.

This whole thing is part of a bigger trend, too. Earlier in October, US authorities seized 127,271 BTC (worth a casual $14.2 billion) tied to Chen Zhi, the founder of Cambodia-based Prince Holding Group. If you think this is the wild west of finance, you’d be right-but without any of the charm. 🏜️

BREAKING: US Government Seized $14B BTC Tied to LuBian and Chen Zhi’s Pig Butchering Operation

The US Government has submitted today a filing for the forfeiture of 127,271 $BTC ($14.2 BILLION) connected to Chen Zhi, chairman of Prince Group, who allegedly ran large-scale…

– Arkham (@arkham) October 14, 2025

The case also raises serious questions about how to regulate these decentralized finance platforms. Since DeFi platforms operate across multiple jurisdictions, they make it nearly impossible for regulators to keep up-sort of like trying to put a leash on an octopus. 🐙

While blockchain transparency helps investigators trace funds, the speed at which these operations move is like trying to catch a greased pig. The months between the exit scam in May 2023 and Liang’s arrest in October 2025? That’s a lot of red tape-and a lot of international coordination. The criminals keep running, but at least the authorities are showing up to the game. 🎯

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2025-10-30 14:34