The U.S. Department of the Treasury has proposed cutting off Cambodia-based Huione Group from the American financial system, citing its alleged role in laundering billions in cryptocurrency for cybercriminals, including North Korea’s Lazarus Group.
FinCEN’s Proposed Action
On May 1, the Treasury’s Financial Crimes Enforcement Network (FinCEN) identified Huione Group as a primary money laundering concern under Section 311 of the USA PATRIOT Act. The proposed rule would prohibit U.S. financial institutions from opening or maintaining correspondent or payable-through accounts for Huione Group. Although Huione lacks direct accounts with U.S. banks, it maintains relationships with foreign firms that do.
Alleged Illicit Activities
FinCEN alleges that between August 2021 and January 2025, Huione Group laundered at least $4 billion in illicit proceeds, including over $36 million from “pig butchering” scams—fraudulent investment schemes that exploit victims through fake romantic relationships. Approximately $37 million of the laundered funds are linked to North Korean cyber heists.
Huione’s network includes:
- Huione Pay PLC: A payment services platform.
- Huione Crypto: A cryptocurrency exchange.
- Haowang Guarantee: An online marketplace offering illicit goods and services.
Additionally, Huione has issued its own stablecoin, the US Dollar Huione (USDH), which FinCEN claims is designed to facilitate money laundering due to its resistance to freezing measures.
The National Bank of Cambodia revoked Huione’s local banking license in March, citing regulations that prohibit payment firms from dealing in digital assets.
The proposed U.S. rule is open for a 30-day public comment period before it can take effect.
