Crypto Scam Ring Leader Sentenced to 20 Years in U.S. Court

Daren Li, a dual citizen of China and St. Kitts and Nevis, was sentenced to 20 years in prison for the role he played in a major crypto scam that targeted American investors.

Li, was the mastermind behind every attack that was carried out through out the period the scam operated. He managed to defraud U.S. victims of more than $73 million.

Since December 2025, the authorities have declared him a fugitive after he cut off his ankle monitoring device in a bid to evading the law enforcement authorities as they tried to track his movements internationally.

The scam he operated involved a network of co-conspirators who contacted victims through unsolicited social media messages, phone calls, and even online dating platforms.

Together, they managed to gain the trust of victims by presenting themselves as professionals or potential romantic partners. Most times, they communicated through encrypted messaging applications in order to avoid detection.

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Using these connections, the conspirators directed victims to their fake crypto websites and investment platforms. They went on to convince their clients to transfer huge amounts of money under false pretenses.

In some cases, the victims were persuaded to invest in crypto scam opportunities that actually never existed. And others were lied to that they had computer viruses and technical problems, that allowed the conspirators pretend to be customer service and later on steal the victims’ money.

How The Crypto Scammers Moved Funds

Li and his associates moved money across international and local accounts in order to avoid detection. So far, at least $73.6 million that was stolen from victims were  deposited into accounts that were controlled by Li and his team. $59.8 million of the total amount passed through U.S.-based shell companies designed to hide the source of the funds.

So far, eight co-conspirators have pleaded guilty, but Li is the first to be sentenced to prison as he was the one who directly handled the stolen money and orchestrated the whole laundering process.

Authorities have warned the public to be cautious with the kind of offers they accept especially when it comes from unknown individuals online.

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