Taiwan Prosecutors Indict 14 in $75M Crypto Laundering Scheme Involving CoinW and BiXiang

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Friday, Aug 22, 2025 10:25 am ET1min read
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Aime RobotAime Summary

- Taiwan prosecutors indicted 14 individuals in a $75M crypto laundering scheme involving unlicensed platforms CoinW and BiXiang, defrauding over 1,500 victims through 40+ branches.

- Suspects used false regulatory claims, deposit machines, and stablecoins to obscure funds, with ringleader Shi Qiren facing a 25-year sentence and NT$1.275B in asset seizures.

- The case highlights risks of unregulated crypto services and underscores Taiwan's intensified regulatory crackdown to protect investors and enforce market transparency.

Taiwan prosecutors have charged 14 individuals in connection with a $75 million cryptocurrency money laundering scheme involving the unlicensed platforms CoinW and BiXiang Technology Co., Ltd. The operation, which spanned more than a year, defrauded over 1,500 victims and was characterized by its high level of organization and division of responsibilities among the suspects [1][2]. The accused operated more than 40 CoinW branches, misleading investors with false claims of regulatory approval and offering "safe" crypto investment opportunities [2].

Behind the façade, the branches served as collection points for illicit funds, which were converted into stablecoins like USDT and moved overseas. The ringleader, Shi Qiren, was responsible for the overall planning and strategy, while others handled branch operations and recruitment of investors [2]. The suspects also utilized deposit machines in partnership with security firms to obscure the financial trail through multiple transactions [2].

Authorities have already seized significant assets tied to the case, including 640,000 USDT,

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, TRX, NT$60.49 million in cash, luxury vehicles, and more than NT$100 million in bank deposits. Prosecutors are seeking the confiscation of a total of NT$1.275 billion ($41.4 million) and have recommended a 25-year prison sentence for Shi Qiren, who reportedly showed no remorse [2]. Along with Shi Qiren, his wife, a business director named Yang, a shareholder surnamed Wang, and other accomplices are being prosecuted under Taiwan’s Anti-Money Laundering Act and the Organized Crime Prevention Act [2].

The case underscores the growing risks associated with unregulated cryptocurrency services and highlights the potential for severe penalties against those involved in fraudulent schemes. It is expected to contribute to more stringent regulatory oversight in the region, reinforcing government efforts to protect investors and ensure transparency in digital asset markets [1][2]. The incident also follows previous enforcement actions, such as the BitShine case, which similarly targeted unlicensed platforms [2].

This high-profile prosecution sends a clear message that Taiwan remains committed to strengthening its legal and regulatory framework to combat financial crime in the crypto sector [2]. As authorities continue to crack down on illegal operations, the industry is likely to face increased scrutiny and compliance requirements in the future [2].

Source:

[1] title1.............................(https://www.mitrade.com/insights/news/live-news/article-3-1062275-20250822)

[2] title2.............................(https://www.cryptotimes.io/2025/08/22/taiwan-indicts-14-in-75m-crypto-laundering-case-tied-to-coinw/)