The U.S. Justice Department seized a cloud computing account used by subsidiaries of Cambodia-based Huione Group, the department announced Tuesday. Assistant Attorney General A. Tysen Duva of the Justice Department's Criminal Division said the seized infrastructure served as part of a technological backbone that allowed billions in fraud proceeds to be transferred, moved, and concealed, often through Southeast Asian scam centers. The action follows last year's designation of Huione Group by the Financial Crimes Enforcement Network as a primary money laundering concern under the USA Patriot Act, with the Justice Department also recognizing H-Pay Service PLC as part of the Huione Group.
Huione Group Operated Alleged Crypto Laundering Infrastructure
Authorities described Huione-linked services as part of a laundering ecosystem used by criminals handling stolen or fraud-linked digital assets. The alleged activity included moving proceeds from investment scams, cyber heists, and blockchain-based theft before converting or channeling those funds into traditional financial systems. Much of the theft was allegedly conducted by the Democratic People's Republic of Korea, according to the Justice Department.
Huione Guarantee, also known as Haowang Guarantee, operated Telegram channels that allegedly advertised stolen credit cards, identity information, malware proceeds, human trafficking services, and escrow for laundering cryptocurrency from romance and investment scams. The seizure targets infrastructure rather than a wallet or exchange account, according to the department.
Huione Launched USDH Stablecoin on Multiple Blockchains
Blockchain analytics firm Elliptic found last year that Huione launched a stablecoin called USDH amid financial pressure, creating an alternative payment rail for the Huione Guarantee marketplace. USDH was launched on Ethereum, BSC, and Tron as part of a broader suite of Huione-branded blockchain products. Those products included a decentralized exchange, a native crypto wallet, and a blockchain known as Huione Chain, also called Xone.
FBI Reported $7.2 Billion in Crypto Fraud Losses for 2025
The seizure is part of Operation Riptide, an FBI campaign targeting cybercrime. In 2025, Americans reported more than $7.2 billion in losses to cryptocurrency investment fraud through the FBI's Internet Crime Complaint Center. Total reported losses from cybercrime and cyber-enabled fraud across the U.S. reached nearly $21 billion that year, according to the FBI's official 2025 Internet Crime Report.
For exchanges, stablecoin issuers, payment firms, and blockchain infrastructure providers, compliance exposure is no longer limited to customer onboarding or suspicious wallet screening. Firms may also face scrutiny over hosting, APIs, escrow tools, wallet integrations, and any services that help suspicious funds move across networks, according to the Justice Department's announcement.
FAQ
What did the U.S. Justice Department seize from Huione Group?
The U.S. Justice Department seized a cloud computing account used by subsidiaries of Cambodia-based Huione Group. The department announced the seizure Tuesday as part of Operation Riptide, an FBI campaign targeting cybercrime.
How much did Americans lose to cryptocurrency investment fraud in 2025?
Americans reported more than $7.2 billion in losses to cryptocurrency investment fraud in 2025 through the FBI's Internet Crime Complaint Center. Total reported losses from cybercrime and cyber-enabled fraud across the U.S. reached nearly $21 billion that year, according to the FBI's official 2025 Internet Crime Report.
What is USDH and which blockchains support it?
USDH is a stablecoin launched by Huione as an alternative payment rail for the Huione Guarantee marketplace, according to blockchain analytics firm Elliptic. USDH was launched on Ethereum, BSC, and Tron as part of a broader suite of Huione-branded blockchain products.
