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Prince Group Hit With U.S. Sanctions in Crypto Fraud Crackdown

Officials say the network is deeply interconnected, with Huione Group acting as a laundering hub that helped convert proceeds from cyber scams into assets.

Written By Iyiola Adrian Iyiola Adrian
Edited by Shubham Soni Shubham Soni
Published 2 hours ago·Updated 13 minutes ago
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Last updated: 13 minutes ago
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Last updated: 13 minutes ago
Published 2 hours ago
Prince Group Hit With U.S. Sanctions in Crypto Fraud Crackdown

Key Highlights

  • The U.S. Treasury sanctioned 9 individuals and 26 entities linked to the Prince Group for running large-scale online scam and money laundering operations.
  • Officials say the network used fake crypto investment scams and forced labor in scam centers to target victims, especially Americans.
  • In 2024 alone, Americans lost at least $10 billion to these Southeast Asia-based scams.

The U.S. Department of the Treasury today announced a coordinated action against the Prince Group Transnational Criminal Organization (TCO).

According to the official release, this action targets what officials describe as a large network of online scams, money laundering, and illegal finance that has been spreading across Southeast Asia and affecting victims around the world.

The Office of Foreign Assets Control (OFAC) said it has placed sanctions on nine individuals and 26 entities linked to the group. This includes their top figures, investors who funded scam compounds, and companies that were used as cover to move illegal money. 

At the same time, the Financial Crimes Enforcement Network (FinCEN) proposed an update to its earlier rule on the Huione Group, adding H-Pay Service PLC and related successor companies because of their role in handling scam money.

Major sanctions across the scam network

“Scam centers in Southeast Asia steal billions of dollars from American victims each year,” Treasury Secretary Scott Bessent said in a statement. He added that the government is working to break apart these criminal groups and protect people from being tricked online.

The Treasury said that these groups are deeply connected. Huione Group was described as a major “money-moving hub” that helped convert stolen money from cyber scams and fake crypto investments into usable cash and assets. 

Officials allege that the Prince Group used this system to hide profits and move funds across borders without being easily traced. The new action is meant to shut down those escape routes and stop the network from finding new ways around earlier sanctions.

The Treasury said Americans lost at least $10 billion to Southeast Asia-linked scams in 2024 alone, highlighting the scale of the problem.

How the scams worked

Victims are often contacted through text messages or social media. Scammers try to build trust, sometimes even pretending to form friendships or romantic relationships. After gaining trust, they push victims to invest in fake cryptocurrency websites that look real but are controlled by the criminals. Once money is deposited, it is quickly moved through complex systems so it cannot be recovered.

Authorities also reported that these scammers often recruit people into their operation through fake job offers in tech support or customer service. Most of them often come for real job interviews, but once they arrive, their passports are taken away, and they are forced to work under threat. 

These workers are often told to target foreigners, especially English-speaking victims in the United States, and sometimes must meet strict daily targets for scams.

Previous crackdown on the criminal group 

The latest sanctions build on earlier actions against the group. Authorities said the United States and the United Kingdom designated the Prince Group as a criminal organization in October 2025.

Since then, investigators have further linked the group’s operations, while several countries have frozen related assets, arrested suspects, and seized property connected to the network.

The action also follows other enforcement efforts, including the FBI’s seizure of infrastructure linked to the Huione Group in New York. Agencies from Australia and Japan also assisted with parts of the investigation. Officials said the goal is to disrupt the financial infrastructure supporting these scams and prevent the network from rebuilding.

The Treasury also targeted Hu Xiaowei, a senior leader in the group. He is said to have helped manage overseas companies, gambling operations, aircraft-related businesses, and real estate connected to the network. Several companies tied to him across Hong Kong, Singapore, and offshore locations were also sanctioned.

Also Read: U.S. Investor Loses $3M in XRP Hack Through Huione Laundering

Disclaimer: The information researched and reported by The Crypto Times is for informational purposes only and is not a substitute for professional financial advice. Investing in crypto assets involves significant risk due to market volatility. Always Do Your Own Research (DYOR) and consult with a qualified Financial Advisor before making any investment decisions.

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TAGGED:Crypto ScamUnited States
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Iyiola Adrian
By Iyiola Adrian
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Iyiola Adrian is a Crypto Analyst at The Crypto Times, based in Lagos, Nigeria. He covers daily cryptocurrency market developments, including Bitcoin and Ethereum price action, altcoin movements, on-chain trends, and fact-check reports on circulating market claims. His analysis emphasizes how African and emerging-market investor behavior interacts with global crypto flows. Before joining The Crypto Times, Iyiola was a contributor at CoinCodex, where he focused on long-form crypto analysis, project reviews, and biographical research on industry figures. He has been writing on digital asset markets continuously since 2022, and his expertise spans market research, chart pattern analysis, technical indicators, and fundamental valuation across the crypto sector. Iyiola holds a Bachelor's degree in Civil Engineering from the Federal University Oye-Ekiti, Nigeria, and is currently pursuing a Master's in Business Administration at Afe Babalola University, Nigeria.
Shubham Soni
By Shubham Soni
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Shubham Soni is the Editor at The Crypto Times, based in Ujjain, Madhya Pradesh. He oversees the editorial desk, reviewing daily news coverage of cryptocurrency markets, US and Indian regulation, institutional adoption, the Solana ecosystem, AI agents, and Real World Assets (RWAs). All policy and markets coverage at The Crypto Times passes through his desk before publication. Before joining The Crypto Times in October 2025, Shubham managed news desks at Sportskeeda and Opoyi, covering global politics, sports, and entertainment for high-volume newsrooms serving the US and Indian markets. His four years in fast-paced newsrooms shaped his approach to fact-checking, source verification, and structural editing on complex stories. Shubham holds a Master's degree in Journalism from Makhanlal Chaturvedi National University of Journalism and Communication (Bhopal) and a Bachelor's degree in Journalism from Amity University Rajasthan. 

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