US Treasury Cuts Off Huione Group Over Crypto Laundering Ties

Authorities target 100+ Huione-linked entities tied to illicit crypto payments fueling global fraud and online scams.

The U.S. Treasury Department has sanctioned Cambodia-based Huione Group for operating a widespread crypto-enabled money laundering operation used to conceal proceeds from international cybercrime.

According to the Office of Foreign Assets Control (OFAC), Huione and over 100 associated entities and individuals have been running a sophisticated illicit financial network. This network enabled actors engaged in scams, online fraud, human trafficking, and crypto extortion to convert illicit funds—particularly in Tether (USDT)—into usable cash.

Investigators revealed that Huione Pay, the group’s internal messaging and payment system, was frequently used to coordinate illegal financial transactions, particularly those linked to organized cybercrime rings operating in Southeast Asia.

The U.S. government cited how Huione’s ecosystem provided financial infrastructure for groups exploiting vulnerable individuals and conducting large-scale pig-butchering scams—social engineering operations that extract crypto from victims under false pretenses.

Brian Nelson, Under Secretary of the Treasury for Terrorism and Financial Intelligence, stated that the crackdown sends a message: "We will not tolerate companies knowingly enabling global criminal enterprises through crypto."

As a result of the sanctions, all Huione-linked assets within U.S. jurisdiction are frozen, and American individuals or companies are barred from engaging with any sanctioned parties.

This move marks one of the most aggressive actions yet by U.S. authorities targeting the intersection of crypto and organized financial crime, further emphasizing the global regulatory shift toward crypto surveillance and compliance enforcement.

Author
Surabh Yadav