Arrest in Japan: Top manager of Prince Group involved in the theft of $15 billion in Bitcoin detained in Osaka
Tokyo police have made a significant breakthrough in the case of the largest financial fraud involving cryptocurrencies. On June 14, Hu Xiaowei (also known as Hu Shi) was detained in Osaka — a key figure in the structure of Prince Group, a Cambodian corporation that, according to the investigation, operated one of the most extensive transnational fraud networks in Asia.
Formal Pretext and Real Scale
Officially, Hu Xiaowei was arrested on suspicion of providing false information about his place of residence. In April, he submitted a fictitious notice of moving to Tokyo's Chuo district. During interrogation, the detainee stated that a trusted person handled the paperwork and he was unaware of the details. Police tracked down the suspect by analyzing surveillance camera footage from several expensive hotels in Osaka where he had stayed. Two Chinese citizens were also detained with him on suspicion of aiding. Smartphones and other devices were confiscated from all of them.
However, the true scale of the case is revealed in the context of sanctions imposed by the U.S. Department of Justice in October 2025. At that time, Prince Group and 146 related individuals and companies were placed under restrictions. U.S. authorities accuse the group of organizing so-called "pig butchering" schemes — fraudulent investment scams where victims were forced to transfer funds under threat of violence.
Bitcoin Confiscation and Connection to the Founder
A key episode is the seizure by the U.S. Department of Justice of approximately 127,271 BTC (worth about $15 billion at the time). This is the largest confiscation of crypto assets in the country's history. The bitcoins were linked to Prince Group's founder and chairman, Chen Zhi, who was arrested in Cambodia in January 2026 and extradited to China. The name "Chen Xiaoer" in the sanctions list matches the data of Hu Xiaowei, the detainee in Japan.
Notably, the company where Hu is listed as a director was registered in Tokyo in April 2023 for trading activities. Its authorized capital grew from 8 million to 50 million yen (about $340,000) by March 2026. A Prince Group representative previously called the U.S. and UK accusations baseless.
Cryptalist Analysis: This arrest is not just a routine detention. It demonstrates that even after a massive asset seizure and the arrest of key leaders, the Prince Group structure continues to operate, using Japan as an operational hub. For the market, this is a signal: regulators are strengthening coordination, and "safe havens" for crypto fraudsters are rapidly disappearing. Investors should be doubly cautious with any offers promising "guaranteed returns" from Asian platforms.