Federal Action Against Major Crypto Crime Platform
The U.S. Department of the Treasury's Office of Foreign Assets Control has sanctioned Xinbi Guarantee, a digital marketplace operating since approximately 2022 that allegedly orchestrated extensive cryptocurrency-related criminal schemes. The coordinated enforcement action was announced on Wednesday, September 9, 2026.
Xinbi operated as a Chinese-language platform facilitating transactions exceeding $24 billion, with a substantial portion conducted in digital currencies. The operation allegedly enabled fraudulent call centers throughout Southeast Asia to acquire equipment and launder illicit proceeds.
Asset Seizures and Digital Infrastructure Shutdown
The Justice Department's Scam Center Strike Force confiscated two cryptocurrency wallets containing approximately $12 million that Xinbi used for collecting vendor fees. Federal investigators obtained court authorization to freeze 47 additional wallets associated with money laundering activities across Xinbi's operational network.
Combined enforcement actions resulted in the restraint or confiscation of over $52 million in digital assets. A federal district judge authorized the seizure of Xinbi's Telegram communication channels on September 7, which had been exploited by criminal vendors to promote money laundering services, fraudulent investment platforms, and recruitment for forced labor scam facilities.
Criminal Network and International Connections
Federal investigators claim Xinbi provided services to North Korean cyber operatives and organizations connected to the previously sanctioned Prince Group. The platform allegedly maintained connections to money laundering rings coordinating through encrypted messaging applications.
Anticipating law enforcement pressure, Xinbi initiated operational changes beginning around June 2025, migrating its networks to a secure messaging application created by Singapore-registered SafeW Technology. The organization also introduced XinbiPay, a cryptocurrency wallet developed by Cambodia-registered Anwen Technology. Both technology companies received sanctions alongside Xinbi.
Industry Cooperation and Regional Impact
According to the Justice Department, stablecoin provider Tether and blockchain analytics company Elliptic assisted in the investigation. Tether contributed to the investigation while Elliptic reported assisting the U.S. Secret Service in tracing the platform's activities.
Treasury Secretary Scott Bessent stated that Southeast Asian scam facilities defraud Americans of billions annually and committed to continuing efforts to dismantle these criminal enterprises. British authorities had previously sanctioned Xinbi in March, freezing its holdings and prohibiting access to UK financial and commercial systems.
The sanctions freeze all U.S.-based property and interests connected to Xinbi and prohibit American individuals and entities from conducting transactions with the designated organizations.
