$938 Million Frozen in Scam Crypto Crackdown on Xinbi Guarantee
The US Justice Department's Scam Center Strike Force has frozen around $938 million in scam-linked cryptocurrency, following an operation targeting the Xinbi Guarantee marketplace on Telegram. This milestone comes after a crackdown that saw federal authorities restrain $52 million in scam-related crypto in a single day, bringing the total to approximately $938 million.
According to Treasury, more than $24 billion was processed through Xinbi's platform since its inception around 2022, primarily supporting transactions in Southeast Asia. The department flagged reported North Korean use of Xinbi Guarantee, with hackers and sanctioned entities allegedly using the platform.
The strike force deployed investigators to Madagascar to support local authorities targeting 13 Chinese-run scam compounds. During the two-week deployment, the team helped process over 3,200 electronic devices and opened investigations based on interviews with nearly 400 arrestees.