In Depth: China Captures Prince Group Associate Tied to $24 Billion Crypto Network

1. Chinese authorities repatriated Li Xiong, a senior associate of alleged crime boss Chen Zhi (also known as Chen Zhipeng), from Cambodia to intensify the crackdown on networks involved in online gambling, fraud, and money laundering in Southeast Asia. Li was returned from Phnom Penh with Cambodian cooperation and is being investigated for operating casinos, fraud, illegal businesses, and concealing proceeds [para. 1][para. 2]. Cambodia's Interior Ministry confirmed his arrest under anti-scam cooperation, following joint probes, with his citizenship revoked by royal decree on March 31 [para. 4].

2. Li formerly chaired Huione Group, linked to Chen's Prince Group, providing payments, currency exchange, insurance, and banking in Cambodia, which researchers and enforcers tie to fraud and laundering [para. 3]. Public records show Huione Currency Exchange founded in 2014 with Li as chairman, and Huione Pay PLC in 2018, which became popular among Chinese businesses for convenient remittances, replacing phone-based methods [para. 12][para. 13].

3. This follows Chen's repatriation in early January after his citizenship revocation; the 38-year-old from Fujian's fishing village built a Cambodia empire over a decade, investing in Singapore, UK, Taiwan, with US seizing $15B in linked bitcoin. Both face charges of casinos, fraud, illegal activities, and hiding proceeds [para. 6][para. 7].

4. Li, a shadowy operator versus Chen's public face, was nicknamed "Boss Xi" in Sihanoukville (Xigang), a scam hub. He started in Prince finance, expanded to money changing, payments, escrow; low-profile, appeared at Panda Bank launch [para. 9][para. 10][para. 11].

5. In May 2025, US FinCEN labeled Huione a primary money laundering concern, key for Southeast Asian crimes like pig-butchering scams, proposing US financial cutoff. From Aug 2021-Jan 2025, it laundered $4B illicit funds, including $36M from pig-butchering and $300M cyber fraud assets [para. 15][para. 16]. Stores suspended ops seven months later; HQ deserted amid depositor runs up to 1,000 queued [para. 17][para. 14].

6. Huione Guarantee, launched 2021, amassed underworld escrow/channel services via "compound + guarantee + laundering." It built trust in scam economy by holding deposits for fraud ops and laundering crews, using Telegram groups (one with 400K subs), website ads for crews [para. 19][para. 20][para. 21][para. 22]. Merchants offered global victim payments, cross-border moves, cash/stablecoin conversion, selective by freeze risk; also fake sites, data sales, telecom gear, AI face-swaps [para. 23][para. 24][para. 25].

7. Elliptic reported Huione Guarantee wallets processed $24B crypto since 2021, largest illicit marketplace [para. 5][para. 26]. Huione director Hun To, cousin of PM Hun Manet, faced Australian heroin/laundering suspicions [para. 27].

8. Despite separate structures, Huione seen as Prince's "little brother"; Prince sold Jinbei 2 Casino to Huione amid US scrutiny, Huione bought Sihanoukville assets. "Compound No. 8" (Huione Park), UK-sanctioned scam hub for 20K trafficked, linked via Legend Innovation (Prince ties: phones, directors like Ing Dara), Huione renderings, 2025 eviction threats over app payments [para. 29][para. 30][para. 31][para. 32][para. 33][para. 34]. Huione Pay renamed H-Pay post-sanctions, license revoked Sep 2024, liquidated by Dec 2025 [para. 35].

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