The US Treasury is going after cyber scam operations in Southeast Asia that have quietly drained over $10 billion from Americans. In its latest move, it announced sanctions on 19 different entities tied to these scams, nine in Myanmar and ten in Cambodia. The focus is on schemes known as “pig butchering,” where victims are manipulated into sending money through fake investment platforms, often built around fabricated romantic relationships.
Shwe Kokko in Myanmar Comes Into Focus
Much of the attention is on Shwe Kokko, a compound in Myanmar linked to these scams. It’s not just a random location. This area is under the control of the Karen National Army and has long been known for shady dealings.
Backed by a mix of Chinese investors and local militias, Shwe Kokko has become a hub for cybercrime. Victims are often tricked with fake job offers, only to find themselves trapped and forced to carry out online fraud. These aren’t just scams — they’re run like digital sweatshops, and many people caught inside are there against their will.
Cyber scam centers in Southeast Asia stole over $10 billion from Americans last year. In response, today @USTreasury sanctioned individuals and entities linked to cyber scam centers in Burma and forced labor operations in Cambodia. Our actions will disrupt their cruel…
— Secretary Marco Rubio (@SecRubio) September 8, 2025
Sihanoukville in Cambodia Has Also Become a Hotspot
In Cambodia, the focus shifts to Sihanoukville. Once known for its booming casino scene, the city now hides criminal operations behind those same buildings. Several of the sanctioned entities are tied to properties that used to run as legitimate casinos.
Traffickers now fill those venues with workers they coerce into running fake crypto platforms. They design the setup to keep workers isolated and obedient. Scammers approach victims online, convince them to believe they are building genuine connections, and then slowly pull them into fraudulent investments.
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Treasury Cites Serious Human Rights Concerns
According to the Treasury, this is about more than stolen money. Under Secretary John Hurley pointed to the deep human cost behind these operations. Traffickers force people into labor, abuse them, and strip them of basic rights.
The financial damage to Americans is real, but so is the trauma for those working inside these scam factories. US authorities cut off access to financial systems to squeeze these operations where it hurts and send a message that this kind of abuse will face consequences.
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A Broader Push Against Global Scam Networks
This move taps into several executive tools meant to deal with cybercrime and human trafficking. It also lines up with similar international efforts targeting the same type of criminal infrastructure. Blocking access to funds is just the first step. The main aim is to break these networks apart by removing their ability to operate across borders, especially through crypto payments and shell companies.
Next Steps in the Fight
Investigators are now tracking any assets connected to the sanctioned groups. Regulators expect crypto exchanges and payment processors to freeze suspicious activity. Meanwhile, efforts are underway to rescue victims and support their return home.
The pressure is now on local governments to step up and confront the problem head-on. For the US, this move adds another layer to its strategy against cybercrime while reinforcing a zero-tolerance stance on human trafficking.
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Key Takeaways
- The US Treasury sanctioned 19 entities in Myanmar and Cambodia tied to cyber scam networks that have stolen over $10 billion from Americans.
- Scams centered around “pig butchering” tactics lure victims through fake relationships and investment platforms tied to compounds like Shwe Kokko.
- Traffickers in Sihanoukville, Cambodia, force workers to run crypto scams from old casino buildings.
- The Treasury stressed the human rights violations behind these scams, including forced labor, abuse, and trafficking across Southeast Asia.
- This crackdown is part of a wider effort to target cross-border fraud and human trafficking networks that rely on crypto and shell companies.
The post US Targets Southeast Asia Scam Networks in $10B Crackdown appeared first on 99Bitcoins.
