A Chinese national has been extradited from the Netherlands and arraigned in California over an alleged international cryptocurrency-investment scheme that prosecutors trace to scam centres in Cambodia.
Zheng Zhao, 44, appeared in the Central District of California on October 23. He was charged in August 2025 with conspiracy to commit money laundering, but the current development is his transfer into US custody and arraignment following cooperation with Dutch authorities.
The complaint alleges that participants contacted victims through social media, dating services, telephone calls and text messages before directing them to fraudulent websites designed to resemble genuine trading platforms. Victims were shown fictitious investment gains and encouraged to transfer more money.
Prosecutors say they identified 174 US victims. More than $36.9 million allegedly moved from US accounts controlled by conspirators to an account at Deltec Bank in the Bahamas, where funds were converted to the Tether stablecoin and sent to a wallet in Cambodia. The government alleges that Zhao and others arranged the movement and conversion of those funds.
Eight alleged co-conspirators have pleaded guilty in related proceedings, but those pleas do not determine Zhao’s liability. He faces a statutory maximum of 20 years if convicted. The allegations remain unproved, and extradition establishes the court’s ability to proceed with the case rather than guilt on the money-laundering charge.
