Chinese National Extradited for $37M Cryptocurrency Scam Targeting U.S. Victims

• •Zheng Zhao was extradited for his role in a $37 million cryptocurrency scam targeting U.S. victims.
• •The scam involved fake investment platforms and deceptive communication methods to gain victim trust.
• •Zhao faces up to 20 years in prison, with eight co-conspirators already sentenced.

Zheng Zhao, a 44-year-old Chinese national, was extradited from the Netherlands to the U.S. and arraigned for allegedly participating in a cryptocurrency investment scam that defrauded 174 American victims out of nearly $37 million. The scheme involved building trust with victims through social media, phone calls, and dating sites, before directing them to fake investment platforms. Funds were transferred from U.S. bank accounts to a Deltec Bank account in the Bahamas, where they were converted to Tether (USDT) and sent to digital wallets controlled by co-conspirators in Cambodia. Zhao faces a maximum of 20 years in prison if convicted of conspiracy to commit money laundering. Eight accomplices have already pleaded guilty, with sentences ranging from 46 to 51 months in prison. The FBI reported that investment scams stole over $8.6 billion in 2025, highlighting the growing threat of such frauds.