Prince Bank enters liquidation, the $15 billion Bitcoin asset battle begins

Cambodia’s National Bank today ordered Taizhi Bank to suspend all new business activities and entrusted an auditing firm to oversee its operations and assets for liquidation. This is not only a risk management measure for a financial institution but also a chain reaction following the arrest of Taizhi Group founder Chen Zhi. As Chen Zhi was deported back to China for investigation, a multi-national asset recovery battle has also unfolded— the United States has frozen 127,000 Bitcoins, Singapore has frozen assets worth 800 million yuan, while Cambodia has initiated financial liquidation. Behind this multi-country game lies a complex entanglement of global financial regulation cooperation and judicial jurisdiction.

The Actual Meaning of Taizhi Bank’s Liquidation

Specific Measures and Operational Impact

According to the latest news, Cambodia’s National Bank has taken the following actions:

• Suspend all new business: Taizhi Bank will no longer accept new loans, account openings, or other new services
• Custodial liquidation: All operations and assets are taken over by Morisonkak MKA auditing firm
• Deposit withdrawals unaffected: depositors can withdraw funds normally as per regulations
• Loan repayments continue: borrowers are required to continue repaying loans on time

This means Taizhi Bank has effectively entered bankruptcy liquidation. The continued operation of deposits and loans aims to prevent financial panic and protect ordinary depositors’ interests, but the freezing of new business indicates that the bank can no longer operate normally.

Why Now

The liquidation of Taizhi Bank was not a sudden decision. After Chen Zhi’s arrest on January 7, 2026, his identity and credit foundation instantly collapsed. As a personally founded financial institution, Taizhi Bank’s operations heavily depend on the founder’s political connections and business reputation. The exposure of Chen Zhi’s involvement in multiple international crypto scams directly threatened the safety of deposits and financial stability. The timely intervention by the Central Bank of Cambodia is a necessary risk management measure.

The Multi-national Asset Seizure of the Financial Empire

Current Status of Global Asset Freezing

Taizhi Group’s asset recovery has become a judicial action involving multiple countries:

Complexity of Asset Disposal

According to relevant analysis, the disposal of Taizhi Group’s assets follows the “territorial principle”—assets in different countries are handled by local judicial authorities:

• The U.S. has seized: 127,000 BTC, which will be included in U.S. judicial forfeiture procedures
• Cambodia is handling: local financial and real estate assets of Taizhi Bank and Taizhi Real Estate, prioritized for repayment to local depositors and creditors
• China will prosecute: Chen Zhi himself, who has returned to China for investigation; his assets and illegal activities in China will be handled by Chinese judicial authorities

This multi-national, decentralized approach reflects a reality: no single country can fully control all assets of this transnational scam empire.

The Shocking Scale of the Scam

Data from U.S. Department of Justice investigations reveal the enormous scope of Taizhi Group’s scam network:

• Park employees: 5,000 to 10,000
• Registered scam accounts: over 700,000
• Scam methods: luring labor through “high-paying recruitment” into crypto “pig-butchering” schemes
• Daily illegal revenue: approximately $30 million according to reports

This is not an ordinary financial institution but a scam factory disguised as legitimate.

Implications for the Crypto Ecosystem

Global Regulatory Cooperation

The rapid collapse of Taizhi Group demonstrates the high efficiency of international regulatory cooperation in recovering illegal crypto assets. The joint efforts of the U.S. Department of Justice, Singapore’s Monetary Authority, Chinese law enforcement, and Cambodia’s Central Bank show that the global fight against crypto black markets has formed a consensus.

Risk Management for Financial Institutions

The case of Taizhi Bank reminds all financial institutions of the importance of founder background checks and compliance review. A financial institution that lacks a robust risk management system and relies solely on the founder’s personal relationships will face collapse once the founder encounters legal or financial issues.

Warning to Depositors

Although Cambodia’s Central Bank promises depositors can withdraw funds normally, the liquidation process may inevitably face delays and frozen funds. This serves as a reminder for depositors to pay attention to the real risk management capabilities and regulatory background of financial institutions when choosing where to deposit.

Summary

The liquidation of Taizhi Bank is an inevitable result of the collapse of Taizhi Group’s scam empire. It is not only a financial risk management measure but also a strong crackdown by global regulators on crypto black markets. With $15 billion worth of Bitcoin frozen, assets seized across multiple countries, and the founder deported for investigation—these events show that even hiding in Southeast Asia’s gray areas cannot escape the reach of international regulation. For the crypto ecosystem, this is both an opportunity to clean up the market and a warning to all participants: compliance and transparency are the only long-term survival paths.