Cambodia's Sudden Move: The Crypto Scammer's Downfall

Chen Zhi, a Chinese national residing in Cambodia, once seemed untouchable. Accused of running large-scale crypto scams, he evaded justice for years. However, Cambodia, his adopted home, decided to hand him over to China, marking a significant turn of events.

A Fall from Grace

Chen Zhi obtained Cambodian citizenship in 2014 after a substantial payment. He even became an adviser to the prime minister and was granted a noble title. His company, Prince Group, faced sanctions from the United States and Britain, but Cambodia remained silent, only expressing hope that the accusing countries had solid evidence.

The Extradition

On a Wednesday, Cambodia announced that Chen Zhi had been extradited to China. This move surprised many, signaling Cambodia's bowing to pressure from its powerful neighbor. Experts believe this indicates Cambodia's initial steps against the growing cyberscam industry, though they doubt a widespread crackdown will follow.

The next day, Chinese state television showed Chen Zhi, hooded and handcuffed, being escorted off a plane. China's Ministry of Public Security praised the arrest as a success in law enforcement cooperation between the two countries.

Cambodia's Stance on Cyberscams

For years, Cambodia had been criticized for turning a blind eye to cyberscammers operating within its borders. Chen Zhi's extradition is a clear indication that the country is feeling the heat. However, experts warn that the cyberscam industry, which has become a significant part of Cambodia's economy, is not going away anytime soon.

Jacob Sims, a visiting fellow at Harvard University's Asia Center and an expert on transnational crime, noted that most of what we know about the region's scam economy comes from independent journalists. He believes that government action has been mostly reactive and that we are far from seeing a significant change.