U.S. Authorities Target Major Online Criminal Marketplace
In a significant move against online criminal activity, U.S. authorities have taken action against the technical systems linked to one of the largest illegal marketplaces on the internet. The Justice Department revealed on Tuesday the seizing of a cloud computing account tied to Huione Group, a Cambodia-based corporation, which is allegedly involved in laundering vast sums of money generated from cryptocurrency investment scams and cyber fraud. This cloud account was utilized as essential infrastructure for Huione’s subsidiaries, allowing illicit actors to manage and obscure funds effectively before introducing them into the financial system without detection.
“This action delivers a critical blow to one of the world’s most active criminal platforms,” stated A. Tysen Duva, Assistant Attorney General for the Criminal Division at the Justice Department.
He emphasized that the account played a pivotal role in facilitating the movement and concealment of billions in fraudulent earnings, much of which was reportedly siphoned from scam operations in Southeast Asia.
Details of the Seized Account
According to legal filings, the seized account was essential to the operations of Huione Guarantee, also recognized as Haowang Guarantee, a marketplace hosted on Telegram. This platform enabled vendors to trade stolen credit and identity information, profits from malicious software, and laundering services that supported romance and investment scams. It even provided escrow services to criminals, including money launderers engaging in cryptocurrency transactions.
Analysts in blockchain technology have labeled Huione Guarantee as the largest illicit online marketplace ever, surpassing notorious dark-web entities such as Silk Road. Although Telegram banned its channels in May 2025, sparking a shutdown of Huione Guarantee, new successor markets quickly emerged to take its place.
Background and Ongoing Efforts
This seizure marks the culmination of a year marked by intensified efforts against Huione. In October of the previous year, the Financial Crimes Enforcement Network (FinCEN) implemented a final rule cutting ties with Huione, designating it as a “primary money laundering concern” due to its involvement in laundering money from crypto-related fraud and North Korean cyber thefts. Following this, on the same day as the seizure, FinCEN expanded its restrictions to a new entity, H-Pay Service PLC, aiming to prevent Huione from circumventing the ban.
Impact of Cryptocurrency Fraud
The prevalence of crypto fraud continues to escalate; in 2025 alone, individuals in the U.S. reported losses exceeding $7.2 billion due to cryptocurrency investment fraud, contributing to a staggering total of over $20 billion in cybercrime losses, reflecting a 26% increase from the previous year.
Operation Riptide
This investigation is part of Operation Riptide, a wider FBI initiative aimed at dismantling the architecture of online fraud. The Justice Department acknowledged the assistance of blockchain analytics companies, such as Chainalysis and Elliptic, alongside Google’s cybercrime unit in this operation. Despite increasing scrutiny and enforcement actions, Huione has shown resilience, managing to adapt by launching its own stablecoin, USDH, and moving operations to associated platforms as regulatory pressures mount.
