U.S. Moves to Cut Cambodian Firm Huione Group from Dollar Financial System Over Cybercrime Links

The U.S. Department of the Treasury has initiated action to cut off Cambodia-based Huione Group from the U.S. dollar financial system, citing the company’s central role in laundering billions of dollars for North Korean and other Southeast Asian cybercrime networks.

In a statement released Thursday, the Treasury announced the first step toward banning Huione Group from holding intermediary banking accounts with U.S. institutions. The move would effectively sever the company’s access to the dollar settlement system, a vital tool in international finance.

According to the Treasury, Huione Group laundered at least $4 billion between August 2021 and January 2025, including $37 million from North Korean cyber scams and $300 million in convertible virtual currency tied to other cybercrimes. The group’s platforms, including Huione Guarantee, have become key marketplaces for illicit cyber activities, investment fraud, and cryptocurrency scams.

“Huione Group has established itself as the marketplace of choice for malicious cyber actors like the DPRK and criminal syndicates,” said Scott Bessent, Secretary of the Treasury. “These sanctions will limit their ability to support cybercriminal operations that target ordinary Americans.”

Blockchain analysis firms have raised alarms about Huione’s operations. Chainalysis reported last August that Huione Guarantee had laundered more than $49 billion in cryptocurrency since 2021. Another firm, Elliptic, labeled it the world’s largest illicit online marketplace, with over $24 billion in transactions — far surpassing Hydra, the largest darknet drug market.

Federal investigators revealed that Huione Group operates a broad network of businesses, including Huione Crypto and Huione Pay PLC, which facilitate the flow of illicit funds. These services offer tools for executing cyber scams and laundering money through both fiat and digital currencies.

In a related move, the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned Cambodian senator and businessman Ly Yong Phat in September 2024. He allegedly used properties he owns, including resorts and hotels, to detain trafficked workers and force them into cybercrime operations.

The UN Office on Drugs and Crime has warned that organized cybercrime in Cambodia, Laos, Myanmar, and the Philippines is growing rapidly due to weak law enforcement, widespread corruption, and robust underground banking networks. The agency estimates these operations generate close to $40 billion in profits annually.