US Court Hands Fugitive 20-Year Sentence After Laundering $73M for Crypto Scams

_{Photo credit: Framalicious / Shutterstock.com}

A US federal judge in the Central District of California has sentenced a key figure in a global cryptocurrency fraud network to the statutory maximum of 20 years in prison, as well as three years of supervised release, for his role in laundering at least US$73.6 million in funds stolen from victims.

Daren Li, a 42-year-old dual national of China and St. Kitts and Nevis, was sentenced in absentia on February 9, but remains a fugitive after cutting off his ankle monitor and fleeing in December 2025.

Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division, said: 

The Court’s sentence reflects the gravity of Li’s conduct, which caused devastating losses to victims throughout our country. The Criminal Division will work with our law enforcement partners around the world to ensure that Li is returned to the United States to serve his full sentence.

Li pleaded guilty in November 2024 to conspiring to launder funds stolen from victims through international cryptocurrency fraud carried out from scam centers in Cambodia. 

Li admitted that his co-conspirators contacted potential victims through unsolicited messages, telephone calls, and social-media connections, as well as online dating platforms. Eight of Li’s co-conspirators have pleaded guilty in the conspiracy, but Li is the first to have been sentenced.

The network would then follow the “pig-butchering” scam model of developing trust either through professional or romantic relationships. The criminals are known to have spoofed cryptocurrency trading websites and induced victims to transfer funds into fraudulent accounts. They also pretended to be from a technology support company and told victims they would need to pay to remove non-existent viruses or resolve other technical issues.

Once the funds were received, Li directed accomplices to open US bank accounts tied to shell companies and funnel the money through US and international accounts, before converting it into cryptocurrency.

First Assistant US Attorney Bill Essayli for the Central District of California said: 

While technology has made it possible for people to quickly communicate with others who live oceans away, it also has made it easier for criminals to prey on innocent victims. I urge the investing public to use caution and to not talk to strangers… especially ones who solicit money online.