Two months ago, Telegram banned channels linked to the Cambodia-based Huione Group, specifically its Huione Guarantee marketplace and a related platform, Xinbi Guarantee. The takedown followed a major warning by the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN), which labeled Huione as a primary money laundering concern under Section 311 of the USA PATRIOT Act.
These platforms reportedly facilitated large-scale fraud schemes, including pig-butchering scams, where scammers build fake relationships to trick victims into sending crypto. A report by TRM Labs revealed that over $35 billion worth of USDT had flowed through these networks. Telegram swiftly removed thousands of related accounts and channels
Scammers Quickly Resurface on New Platforms
Despite the ban, scam-related activity did not stop. Instead, it shifted to smaller or affiliated platforms. One such example is Tudou Guarantee, which TRM Labs identified as being linked to Huione. After the ban, Tudou’s daily transaction volume surged 70x, reaching activity levels close to Huione’s peak.
Even the banned Xinbi Guarantee resurfaced under the same name, with a 90% spike in daily crypto flow.
Elliptic, another blockchain analytics firm, reported that over 30 new platforms began offering similar laundering services—disguised as escrow or fake banking systems designed to obscure funds and evade enforcement.
“These groups are not gone; they’ve just moved,” TRM stated in its July update, highlighting how adaptable scam networks have become.
U.S. Cracks Down on Huione, But Its Network Still Survives
Meanwhile, the U.S government also stepped in. After the FinCEN labeled the Huione Group , the Treasury’s Office of Foreign Assets Control (OFAC) announced new sanctions. In late May, OFAC blacklisted Funnull Technology and two crypto wallets tied to Huione Group. They said the wallets were used in pig-butchering scams that stole over $200 million from victims.
Despite all of this, parts of the Huione network are still active. Huione Pay, which is a payment service based in Cambodia, continues to operate. The group also runs a crypto exchange and created its own coin, USDH, to avoid blocks on other coins like USDT.
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