The US Treasury’s Financial Crimes Enforcement Network (FinCEN) is taking decisive action against Cambodia’s Huione Group, a major player in money laundering activities. According to a recent statement released on May 1, FinCEN has proposed banning Huione Group from accessing the American financial system. If approved, this rule would prevent US financial institutions from opening or maintaining accounts for Huione Group and any of its subsidiaries.
Huione Group has come under scrutiny for its involvement in moving illicit funds connected to both North Korea and transnational crime rings in Southeast Asia. The group has been linked to the laundering of proceeds from crypto scams, including fake investment schemes known as “pig butchering” frauds.
Treasury Secretary Scott Bessent emphasized the need to disrupt Huione’s access to global banking services in order to undermine its ability to launder stolen funds. He stated, “Huione Group has established itself as the marketplace of choice for malicious cyber actors like the DPRK and criminal syndicates, who have stolen billions of dollars from everyday Americans. Today’s proposed action will sever Huione Group’s access to correspondent banking, degrading these groups’ ability to launder their ill-gotten gains.”
According to FinCEN’s investigation, Huione Group processed over $4 billion in suspicious transactions between August 2021 and January 2025. A significant portion of these funds, including $37 million from North Korean-linked hacks, $36 million from crypto investment scams, and nearly $300 million from other online frauds, were identified as illicit.
US authorities suspect that Huione Group operates a network of companies that play different roles in its money laundering operations. These entities include Huione Pay, a fiat payment processor; Huione Crypto, a virtual asset service; and Haowang Guarantee, a marketplace for illegal goods and services. The group has even issued its stablecoin to facilitate transactions across its platforms.
Despite the mounting evidence of illicit activities, Huione entities were found to lack visible anti-money laundering (AML) and know-your-customer (KYC) policies. FinCEN noted instances where Huione failed to detect suspicious transactions, including receiving funds tied to a North Korean cyberattack without knowledge.
The platform’s operations appear to evade traditional oversight and regulations, reminiscent of historical darknet marketplaces like Silk Road. FinCEN’s proposed ban on Huione Group is a crucial step in dismantling its access to the global financial system and disrupting its illicit activities.