US STRIKES SOUTHEAST ASIAN SCAM CENTERS, RESTRAINS $700 MILLION IN CRYPTO
The DOJ, Treasury OFAC, and State Department launched coordinated actions against Southeast Asian pig butchering crypto scam operations, restraining over $700 million and sanctioning 29 Cambodian targets including Senator Kok An.
The U.S. government has launched one of its most sweeping crackdowns on cryptocurrency-enabled fraud, targeting pig butchering scam operations across Southeast Asia. The Department of Justice, Treasury's Office of Foreign Assets Control (OFAC), and the State Department announced coordinated actions on April 23 against criminal networks operating in Burma, Cambodia, and Laos.
The DOJ's Scam Center Strike Force restrained more than $701.9 million in cryptocurrency tied to laundering victim funds, marking one of the largest enforcement actions of its kind. The DOJ also unsealed charges against two Chinese nationals — identified as Huang and Jiang — who allegedly managed the Shunda compound in Burma. The FBI and Secret Service seized 503 fake cryptocurrency investment websites, while the Strike Force conducted a first-of-its-kind seizure of a Telegram channel with more than 6,000 followers used to recruit English-speaking trafficking victims.
OFAC Sanctions Cambodian Senator and Scam Network
OFAC designated 29 Cambodian targets, led by Senator Kok An and his Crown Resorts empire. According to the U.S. Treasury, Kok An is a Cambodian senator and businessman whose flagship hospitality company owns casinos, resorts, and buildings in Poipet, Sihanoukville, Bavet, and other cities that have allegedly been converted into scam compounds. Entities including Anco Brothers Co Ltd and Heng Feng Cambodia Bank plc were also sanctioned. The Treasury said Kok An used his political connections to shield operations that have "stolen millions of dollars from U.S. victims."
The action was taken under executive authority granted by a March 2026 executive order directing agencies to dismantle foreign-backed fraud networks targeting Americans. The State Department separately offered up to $10 million for information on the Tai Chang compound in Burma.
A Growing Crisis in Crypto Fraud Losses
The scale of the problem is stark. According to the FBI's Internet Crime Complaint Center (IC3), reported losses from cryptocurrency investment scams rose from $3.96 billion in 2023 to $5.8 billion in 2024, and climbed a further 24 percent in 2025 to over $7.2 billion. The Treasury Department estimates Americans lose at least $10 billion annually to Southeast Asian scam operations.
The restrained crypto was secured through legal process and voluntary cooperation from crypto service providers, indicating that exchanges and custodians are increasingly freezing suspect flows before formal seizure orders arrive. Hours after the announcement, stablecoin issuer Tether said it froze over $344 million in USDT linked to illicit activity, in coordination with OFAC and other U.S. law enforcement agencies.
The crackdown sends a clear signal: U.S. authorities are treating pig butchering operations not just as financial fraud, but as a national security threat entangled with human trafficking and transnational organized crime.
Sources:
U.S. Department of Justice — Scam Center Strike Force Announcement
U.S. Treasury — OFAC Sanctions on Kok An and Scam Center Network
Tether — $344 Million USDT Freeze in Coordination with OFAC
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Author
Jon WangJon studied Philosophy at the University of Cambridge and has been researching cryptocurrency full-time since 2019. He started his career managing channels and creating content for Coin Bureau, before transitioning to investment research for venture capital funds, specializing in early-stage crypto investments. Jon has served on the committee for the Blockchain Society at the University of Cambridge and has studied nearly all areas of the blockchain industry, from early stage investments and altcoins, through to the macroeconomic factors influencing the sector.