FinCEN: Southeast Asian Scam Compounds’ Crypto Fraud Involves $12.7 Billion, with Ethereum and Stablecoins as Primary Tools

Odaily News: The latest analysis report from the U.S. Treasury Department's Financial Crimes Enforcement Network (FinCEN) shows that approximately $12.7 billion in suspicious financial activity is linked to crypto investment scams operated by Southeast Asian scam compounds. The report covers 33,904 suspicious activity reports filed by around 1,300 institutions between September 2023 and December 2025, during which the average monthly number of reports grew by 10.9%, and the average monthly amount involved grew by 18%.

Scammers primarily used Ethereum, USDT, and USDC for their operations, ultimately converting almost all illicit proceeds into USDT and transferring funds through DeFi protocols or overseas exchanges. The scam compounds are concentrated in Cambodia, Laos, and Myanmar, involving hundreds of thousands of trafficked individuals. Interpol has classified this network as a transnational crime threat and warned that the model is spreading beyond Southeast Asia. It was also revealed that FinCEN's Rapid Response Program has recovered over $1 billion for 5,790 U.S. victims since 2015. (Decrypt)