The US Department of Justice said its Scam Center Strike Force has frozen more than $701 million in cryptocurrency connected to overseas investment fraud targeting Americans, with the case centered on Southeast Asian pig butchering operations. Based on the department's description, it ranks as one of the largest single-day US enforcement actions ever aimed at this type of scam network in the region.
Fake investment sites and recruitment channels were taken down
The action went beyond wallet freezes. Authorities took control of a Telegram channel used to lure job seekers to scam compounds in Cambodia and seized 503 fake investment websites that had been used to persuade victims to deposit crypto. Those pages have been replaced with law enforcement notices.
Federal prosecutors also unsealed criminal complaints and arrest warrants against two Chinese nationals, Huang Xingshan and Jiang Wen Jie. They were accused of managing crypto investment fraud operations at the Shunda compound in Myanmar. The US State Department is also offering a reward of up to $10 million for information that could help dismantle the Tai Chang scam center in Myanmar.
Seized crypto may add to the US bitcoin reserve
The DOJ said the recovered assets will be used, where possible, to compensate victims. At the same time, the seizure has implications for US digital asset holdings. According to the source material, President Donald Trump signed an executive order in March 2025 establishing a Strategic Bitcoin Reserve and a broader digital asset stockpile, with forfeited crypto from criminal investigations listed as one source of assets.
Cross-border enforcement now includes exchanges and blockchain analytics firms
The freeze was carried out with voluntary cooperation from crypto exchanges alongside standard legal procedures. International coordination is also expanding. Singapore Police Force's Anti-Scam Centre said that in an operation running from March 16 to April 15, it prevented more than $2.86 million in potential losses. The effort involved real-time intelligence sharing with Coinbase, Gemini, Coinhako, TRM Labs, and Chainalysis, leading to more than 90 direct interventions.
FBI data cited in the report showed that in 2025, cybercrime complaints in the US exceeded one million, with reported losses reaching $21 billion. The latest action shows how authorities are combining site seizures, on-chain asset freezes, exchange cooperation, and blockchain tracing tools to target the infrastructure behind cross-border crypto fraud.