Written by Ezra Reguerrastaff writerReviewed by Yohan Yunstaff editor

Written by Ezra Reguerrastaff writer

Reviewed by Yohan Yunstaff editor

US sanctions Xinbi scam marketplace, restrains $52M in crypto

Latest NewsPublishedSep 10, 2026

The Justice Department seized Xinbi’s Telegram channels and two wallets as investigators pursued 47 additional wallets across its alleged laundering network.

United States authorities restrained more than $52 million in crypto linked to Xinbi Guarantee and its vendor network as part of a coordinated operation against the scam marketplace. 

On Wednesday, the US Justice Department stated its Scam Center Strike Force seized two wallets used by Xinbi to collect vendor payments containing about $12 million. Law enforcement also sought restraints against 47 additional wallets believed to be connected to money laundering across Xinbi’s network. 

The DOJ stated the US District Court for the District of Columbia authorized the seizure of Telegram channels hosting the marketplace on Sept. 7. as reported by the unsealed warrant, vendors used the channels to advertise money laundering, custom scam-investment websites and recruitment services for scam compounds in Southeast Asia. 

The operation targets the financial and communications infrastructure supporting industrial-scale scam centers, expanding enforcement beyond individual operators to the marketplaces and service providers that allow the networks to function. The DOJ credited stablecoin issuer Tether with assisting in the investigation.

Treasury sanctions Xinbi and technology providers

In a coordinated action on Wednesday, the US Treasury Department stated its Office of Foreign Assets Control (OFAC) designated Xinbi as a notable transnational criminal organization. OFAC also sanctioned Singapore-based SafeW Technology and Cambodia-based Anwen Technology for allegedly providing technological and financial support to Xinbi. 

as reported by the Treasury, Xinbi began moving its merchant and money-laundering networks to SafeW’s encrypted messaging application around June 2025 as law-enforcement scrutiny intensified. Anwen allegedly developed XinbiPay, also known as NewPay, a crypto wallet and payment application used by the marketplace. 

Related: US, UK launch joint alliance targeting crypto scam centers

The Treasury stated Xinbi has processed over $24 billion in crypto and fiat since around 2022, primarily through Southeast Asia. The department stated its platform has been used by North Korean hackers and entities connected to the sanctioned Prince Group. 

The sanctions block Xinbi’s US property and interests and generally prohibit US persons from transacting with the designated entities.

The latest US action follows UK sanctions imposed against Xinbi. On March 26, the UK government imposed sanctions on Xinbi aimed at cutting the platform off from crypto access. Under the sanctions, UK assets connected to Xinbi will be frozen, and the platform will be barred from the country’s financial, trade and travel networks.

Magazine: Tether sued over $42M in frozen coins, 6,600 students get crypto loans: Asia Express

Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.

• United States
• Asia
• Scams
• Scams & Cybercrime

More on the subject

Cybercrime ringleader Malone Lam pleads guilty in $245M crypto theft conspiracy

Sep 9, 2026

Ezra Reguerra

Mexico quadruple homicide tied to alleged Bitcoin robbery attempt

Sep 8, 2026

Zoltan Vardai

Polish prosecutors charge suspect in Zondacrypto probe, seek pretrial detention

Sep 7, 2026

Nate Kostar

Cybercrime ringleader Malone Lam pleads guilty in $245M crypto theft conspiracy

Sep 9, 2026

Ezra Reguerra

Mexico quadruple homicide tied to alleged Bitcoin robbery attempt

Sep 8, 2026

Zoltan Vardai

Polish prosecutors charge suspect in Zondacrypto probe, seek pretrial detention

Sep 7, 2026

Nate Kostar