The U.S. Treasury Department targeted another global digital asset-related illicit service provider by applying sanctions to Xinbi Guarantee.
This measure builds upon previous enforcement efforts directed against the Prince Group and the Huione Group, the department noted.
According to a release published on Wednesday, the U.S. Department of the Treasury placed sanctions on the digital marketplace Xinbi Guarantee, alleging it was heavily utilized by Chinese cyber criminals to run crypto-based fraud and illicit financial operations.
The Treasury’s Office of Foreign Assets Control stated that this alleged transnational criminal network assisted scam operators in purchasing necessary supplies and managed financial transactions linked to unlawful activities, totaling roughly $24 billion since the Chinese-language platform’s inception in 2022, with a significant portion involving cryptocurrencies. Furthermore, the United Kingdom’s Foreign, Commonwealth, and Development Office had already sanctioned Xinbi back in March.
Treasury Secretary Scott Bessent remarked in an official statement that Southeast Asian scam networks steal billions of dollars from American citizens each year. He added that his agency will persist in using its mechanisms to dismantle the networks behind this severe fraud and safeguard Americans.
Reports indicate that Xinbi backed money laundering operations and served North Korean hackers, with a large share of communications taking place over Telegram. The entity was additionally connected to the Prince Group, which faced comparable penalties from the Treasury.
In a parallel enforcement measure, the Department of Justice together with other law enforcement bodies moved against the network by seizing or taking control of approximately $52 million in digital assets, as noted in a statement.
Blockchain analytics company Elliptic reported that it aided the U.S. Secret Service during the probe into Xinbi, which has been described as a premier marketplace for internet fraudsters.
As regulatory agencies and tech platforms turned their attention toward Xinbi, the platform reportedly began shifting its merchant and money laundering operations last year to an encrypted messaging tool built by Singapore-based SafeW Technology. It also launched a XinbiPay wallet application created by Cambodia-based Anwen Technology, leading the Treasury to expand its Wednesday sanctions to cover both SafeW and Anwen.
The Treasury, which noted its collaboration with the Justice Department’s newly formed Scam Center Strike Force, has previously targeted both the Prince Group and the Huione Group. These sanctions aim to block any financial interactions involving U.S. citizens or companies, effectively isolating the targeted entities from a large portion of the international financial infrastructure.
U.S. Attorney Jeanine Pirro stated that the task force dispatched personnel to Madagascar to address comparable issues in that region.
Read More: Sanctioned Cambodian Lender Huione, Linked to Illicit Crypto, Halts Business After Bank Run: Report
UPDATE (September 9, 2026, 18:02 UTC): Includes actions taken by the Justice Department.
Originally published at https://www.coindesk.com/policy/2026/09/09/u-s-treasury-sanctions-another-widespread-cyber-scam-hub-xinbi-guarantee.
