The U.S. Treasury sanctions a Philippines firm in a $200 million cryptocurrency scam to combat digital asset fraud.
- US Treasury sanctions Funnull Technology Inc., disrupting $200 million crypto scams.
- Individual losses exceed $150,000 per victim.
- Southeast Asian organized groups lead scams, using labor trafficking victims.
On May 29, 2025, the U.S. Treasury Department sanctioned Philippines-based Funnull Technology Inc. over cryptocurrency scams exceeding $200 million, in collaboration with the FBI.
The move aims to safeguard asset security and halt cybercrime, reflecting broader efforts against digital fraud in financial markets.
US Treasury Targets $200 Million Crypto Fraud
The U.S. Treasury, in response to increasing crypto-related fraud, has acted against Funnull Technology Inc. The company is linked to numerous fraudulent websites leading to significant financial losses for U.S. citizens.
Funnull’s sanction targets cyber scams, focusing on seizing assets and preventing future fraud. Liu Lizhi, a key figure, faces penalties under this action, significantly affecting the firm’s operations. As Michael Faulkender, Deputy Secretary of the Treasury, stated, “Today’s action underscores our focus on disrupting the criminal enterprises, like Funnull, that deprive Americans of their hard-earned savings.” You can read more on the Treasury Department’s statement on sanctions.
Freeze on Funnull’s U.S. Assets Announced
The sanctions freeze all U.S. assets tied to Funnull and Liu Lizhi, preventing transactions with U.S. entities. This move impacts Southeast Asia’s organized crime networks significantly involved in such scams.
This effort places pressure on similar scam operations, serving as a deterrent. The Treasury, highlighting virtual currency fraud, reaffirms commitment to safe digital ecosystems.
Sanctions Reinforce Government’s Anti-Cybercrime Stance
Similar actions have been taken previously, including the 2024 domain seizure linked to crypto scams. Secret Service Seized Another Web Domain Used in Furtherance of Cryptocurrency Pig Butchering Scheme
Experts suggest these sanctions could deter further scams, with increased scrutiny on digital asset exchanges leveraging past successful interventions as a foundation.
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