"Historic Crypto Seizure Marks US-UK Strike Against $4B Scam Empire"

The United States and the United Kingdom have launched their largest coordinated enforcement action to date against cybercriminal networks in Southeast Asia, targeting transnational operations linked to crypto laundering, investment fraud, and human trafficking. The U.S. Treasury's Office of Foreign Assets Control (OFAC), Financial Crimes Enforcement Network (FinCEN), and the U.K.'s Foreign, Commonwealth & Development Office (FCDO) announced sweeping sanctions and enforcement measures against the Cambodia-based Prince Group Transnational Criminal Organization (TCO) and the Huione Group. These entities were identified as central nodes in laundering over $4 billion in illicit proceeds between 2021 and 2025, including funds tied to North Korean cyber heists and Southeast Asian "pig butchering" scams US and UK Take Joint Action Against Southeast Asian Scam Networks^[1]Feds Seize Record-Breaking $15 Billion in Bitcoin From Alleged Scam Empire^[5].

The Prince Group, led by Cambodian national Chen Zhi, operates at least 10 scam compounds in the region, where trafficked individuals are forced to execute online investment fraud schemes. U.S. officials estimate Americans lost at least $10 billion to Southeast Asia-based scams in 2024, with losses from crypto-linked scams alone reaching $16.6 billion since 2023 U.S., U.K. Launch Largest-Ever Crackdown on Southeast Asian Cybercrime Networks^[3]. OFAC designated 146 entities and individuals linked to the Prince Group, including its chairman Chen Zhi, for their involvement in transnational money laundering and human trafficking. The U.K. imposed parallel sanctions on Chen Zhi and his network, while U.S. prosecutors unsealed an indictment alleging the use of shell companies and offshore wallets to conceal criminal revenue US and UK Take Joint Action Against Southeast Asian Scam Networks^[1].

FinCEN took decisive action under the USA PATRIOT Act to sever Huione Group's access to the U.S. financial system, blocking correspondent banking and crypto settlement infrastructure. Huione's subsidiaries-Huione Pay, Huione Crypto, and Haowang Guarantee-operated a "one-stop shop" for laundering illicit funds, including $37 million from North Korean cyber heists and $36 million from pig butchering scams Feds Seize Record-Breaking $15 Billion in Bitcoin From Alleged Scam Empire^[5]Cybercrime Losses in the U.S. Reached $16.6 Billion in 2024, FBI Reports^[6]. The group's lack of anti-money laundering (AML) and know-your-customer (KYC) policies exacerbated its role in facilitating financial crime. Treasury Secretary Scott Bessent emphasized that the operation represents "a major step toward dismantling the global infrastructure of financial crime that uses crypto as its conduit" US and UK Take Joint Action Against Southeast Asian Scam Networks^[1].

The joint action also includes the seizure of 127,271 bitcoins (worth approximately $15 billion at the time of confiscation) linked to Prince Group's operations, marking the largest cryptocurrency seizure in U.S. history . This follows a broader trend of escalating cybercrime losses, with U.S. victims reporting $16.6 billion in losses in 2024, a 33% increase from 2023 . The FBI highlighted that investment scams, particularly those involving cryptocurrency, accounted for $6.56 billion in losses, underscoring the growing reliance on digital assets for illicit financial activity .

The crackdown reflects a strategic shift toward cross-border coordination to address hybrid laundering networks that exploit both centralized banking systems and blockchain infrastructure. As regulators expand financial crime frameworks to cover digital asset intermediaries and tokenized assets, the U.S. and U.K. are setting precedents for targeting transnational criminal enterprises. However, challenges remain in circumventing enforcement through jurisdictions with lax oversight and addressing the root causes of human trafficking and economic vulnerability in Southeast Asia .