According to a new report from the United Nations Drug Dispatch (UNODC) (UNODC) (UNODC) , organized crime groups in Southeast Asia have expanded their operations by leveraging cryptocurrencies.
The report says that the Criminal Syndicate is no longer using existing crypto infrastructure. Instead, they are actively building a customized financial ecosystem to avoid detection.
One example cited in the report is that the Chinese ecosystem and market, known as Huione Guarantee, is now rebranded as Haowang, processing more than $24 billion in crypto related to fraud over the past four years.
Headquartered in Phnom Penh, Cambodia, the platform has grown to over 970,000 users and thousands of interconnected vendors.
“With concerns, Huione has recently launched its own cryptocurrency-related products, including cryptocurrency exchange and trading applications, online gambling platforms, blockchain networks and US dollar-backed Stablecoin, designed to avoid government control,” the report states.
Related: CFTC Partners Warn about Crypto Pig Slaughter Scams
Southeast Asia appears as a crypto crime hub
UNODC warned that fraud centres in Myanmar, Cambodia and Laos have industrial cybercrime that combines blockchain, artificial intelligence and stubcoin with fuel manipulation.
These centres implement complex fraud schemes such as phishing, investment fraud and “pig slaughter,” which generate hundreds of billions of billions a year, according to reports.
According to Cointelegraph Magazine, some of the largest pork slaughter syndicates are reportedly congregated around Cambodia, Myanmar and the Philippines.
Over the past year, several attacks have led to the arrest of hundreds of people, including Chinese, Filipinos, Indonesians, Malaysians, Thais and Vietnamese citizens, who have been found on suspicion of cyber-responsive fraud projects.
In October 2024, Hong Kong police arrested 27 people who breached the fraud centre suspicion and accused them of carrying out a crypto romance investment scam that used AI deepfakes to snatch more than $46 million in casualties.
Similarly, in December 2024, Nigeria’s anti-corruption agency arrested 792 people in raids buildings in the country’s largest city that it claims to be a hub for large-scale crypto romance fraud.
Related: Coinbase users reaching $46 million on suspicion of phishing scam
Exchanges for custom stub coins avoid monitoring
The UN report highlights that syndicates are issuing their own stubcoins and creating private interactions to bypass global financial regulations.
For example, Huione’s Guarantee has launched a suite of crypto-related products, including cryptocurrency exchanges, blockchain networks (Xone chains), and online gambling platforms. The group also announced the release of its Huione Visa card in February 2025.
While Southeast Asia remains the epicenter, UNODC noted that these crypto fuel businesses are expanding to Africa, South America and the Pacific.
“The growing global impact of Asian money laundering and expanding underground banking networks cannot be kept modest,” the report said, urging the government to close loopholes.
Magazine: SEC U-turn on Crypto leaves important questions unanswered
According to a new report from the United Nations Drug Dispatch (UNODC) (UNODC) (UNODC) , organized crime groups in Southeast Asia have expanded their operations by leveraging cryptocurrencies.
The report says that the Criminal Syndicate is no longer using existing crypto infrastructure. Instead, they are actively building a customized financial ecosystem to avoid detection.
One example cited in the report is that the Chinese ecosystem and market, known as Huione Guarantee, is now rebranded as Haowang, processing more than $24 billion in crypto related to fraud over the past four years.
Headquartered in Phnom Penh, Cambodia, the platform has grown to over 970,000 users and thousands of interconnected vendors.
“With concerns, Huione has recently launched its own cryptocurrency-related products, including cryptocurrency exchange and trading applications, online gambling platforms, blockchain networks and US dollar-backed Stablecoin, designed to avoid government control,” the report states.
Related: CFTC Partners Warn about Crypto Pig Slaughter Scams
Southeast Asia appears as a crypto crime hub
UNODC warned that fraud centres in Myanmar, Cambodia and Laos have industrial cybercrime that combines blockchain, artificial intelligence and stubcoin with fuel manipulation.
These centres implement complex fraud schemes such as phishing, investment fraud and “pig slaughter,” which generate hundreds of billions of billions a year, according to reports.
According to Cointelegraph Magazine, some of the largest pork slaughter syndicates are reportedly congregated around Cambodia, Myanmar and the Philippines.
Over the past year, several attacks have led to the arrest of hundreds of people, including Chinese, Filipinos, Indonesians, Malaysians, Thais and Vietnamese citizens, who have been found on suspicion of cyber-responsive fraud projects.
In October 2024, Hong Kong police arrested 27 people who breached the fraud centre suspicion and accused them of carrying out a crypto romance investment scam that used AI deepfakes to snatch more than $46 million in casualties.
Similarly, in December 2024, Nigeria’s anti-corruption agency arrested 792 people in raids buildings in the country’s largest city that it claims to be a hub for large-scale crypto romance fraud.
Related: Coinbase users reaching $46 million on suspicion of phishing scam
Exchanges for custom stub coins avoid monitoring
The UN report highlights that syndicates are issuing their own stubcoins and creating private interactions to bypass global financial regulations.
For example, Huione’s Guarantee has launched a suite of crypto-related products, including cryptocurrency exchanges, blockchain networks (Xone chains), and online gambling platforms. The group also announced the release of its Huione Visa card in February 2025.
While Southeast Asia remains the epicenter, UNODC noted that these crypto fuel businesses are expanding to Africa, South America and the Pacific.
“The growing global impact of Asian money laundering and expanding underground banking networks cannot be kept modest,” the report said, urging the government to close loopholes.
Magazine: SEC U-turn on Crypto leaves important questions unanswered
