New "Scam Center Strike Force" to combat crypto investment fraud centers run out of Southeast Asia
The US Justice Department (DoJ) has formed a new “Scam Center Strike Force" to go after online criminal groups operating in Southeast Asia that target Americans with promises of "get-rich-quick" crypto schemes – known as pig butchering – already raiding two centers and confiscating over $400 million in digital currency.
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The US Justice Department (DoJ) has formed a new “Scam Center Strike Force" to go after online criminal groups operating in Southeast Asia that target Americans with promises of "get-rich-quick" crypto schemes – known as pig butchering – already raiding two compunds and confiscating over $400 million in digital currency.
- DOJ creates new "Scam Center Strike Force" targeting Chinese-linked crypto fraud operations.
- The Strike Force has already seized $400+ million to return to victims, disrupting imprisoned labor compounds in multiple countries.
- The initiative, lauded by Meta, is banking on more public-private sector alliances to help disrupt scammers' access to US infrastructure.
Key Takeaways by nexos.ai, reviewed by Cybernews staff.
According to the DoJ, the Chinese transnational criminal organizations (TCOs) behind these types of investment scams cost everyday Americans nearly $10 billion each year.
Furthermore, workers in the compounds run by the TCOs are “often victims of human trafficking, held against their will, abused, and under watch by armed groups as they are instructed to target Americans," the agency said.
The move comes as the military in Myanmar (Burma) on Thursday announced a massive raid on one of the nation's notorious scam compounds, KK Park, reporting to have demolished 150 buildings at the site, although the operation is said to be more likely propaganda than fact to appease the West.
“Scam centers are creating a generational wealth transfer from Main Street America into the pockets of Chinese organized crime. As the prosecuting office in the nation’s capital, my office has the authority to charge foreign defendants and seize foreign property,” said US Attorney for the District of Columbia Jeanine Pirro.
"The message is clear: if you defraud Americans through crypto schemes, we’re coming for you," Pirro posted on X Thursday.
The message is clear: if you defraud Americans through crypto schemes, we’re coming for you.https://t.co/J7JbHvs0Zp
undefined Jeanine Pirro (@JudgeJeanine) November 13, 2025
Pirro's office is spearheading the initiative in coordination with the DoJ's Criminal Division, FBI, and the Secret Service.
Besides disrupting crime centers overseas, the Strike Force will also work “to seize and disable the US-based facilities and infrastructure that provide the manner and means to execute these scams,” including US internet service providers, the announcement said.
Additionally, the Strike Force will collaborate with other US agencies to educate Americans about the schemes and how to protect themselves, as well as to return stolen funds to the victims.
How does pig butchering work?
For those unfamiliar, the term “pig butchering” was coined to describe how fraudsters typically “fatten up” their targets, first by gaining the victim’s trust over a period of time before presenting them with a fake cryptocurrency investment opportunity.
The fraudsters are known to prey on the emotions of vulnerable individuals who are seeking connection, companionship (also called romance scams), or financial success.
Originating from large compounds in Southeast Asia, including Cambodia, Laos, and Burma, the scammers will target their victims using social media platforms like Facebook and Instagram, or through text messages, using only US-based networks and mobile phone numbers.
“Since 2019, the US Secret Service has seen a major uptick in cryptocurrency investment scams,” said Kyo Dolan, Assistant Director of the Secret Service.
Calling it an “ecosystem of criminality,” Dolan said in 2025, the Secret Service responded to roughly 3,000 individuals who contacted the agency about pig butchering investment schemes.
The Strike Force, wasting no time, has already launched several raids and investigations in the past few months, conducting operations against two scam centers in Burma, a network of scam centers in Bali, and embedded FBI agents with the Royal Thai Police in Bangkok to combat the KK Park scam compound in neighboring Burma.
In Burma, authorities there worked with Strike Force to seize fake websites used to target Americans and obtain warrants to seize WiFi satellites, said to be used for fraud operations and money laundering.
In Bali, the Strike Force provided information leading to the arrest and prosecution of 38 Indonesian nationals said to be responsible for targeting over 150 US-based victims.
Overall, the Strike Force Crypto Seizure team reported having seized exactly $401,657,274.33 in cryptocurrency, and on Wednesday, filed forfeiture proceedings for an additional $80 million in stolen funds – all of which is to be returned to US victims.
Private sector partnerships in the works
As part of the Strike Force initiative, Pirro is hoping to create lucrative public-private partnerships with US corporations that will help secure the nation's infrastructure, which she says is being “exploited” to carry out the scams.
This would include collaborating with the companies to sever access to the scam centers, as mentioned previously. Already, the initiative has gained the support of Mark Zuckerberg’s Meta Platforms, and it was Elon Musk's SpaceX that disabled more than 2,500 Starlink devices in Burma last month.
“Meta applauds the DOJ and its partners for launching the Scam Center Strike Force to combat sophisticated scam operations targeting Americans and others. We've worked with US and international law enforcement to investigate and disrupt such networks, and we look forward to continuing this work with the Scam Center Strike Force,” Meta Communications Director Andy Stone said on X.
Meta applauds the DOJ and its partners for launching the Scam Center Strike Force to combat sophisticated scam operations targeting Americans and others. We've worked with US and international law enforcement to investigate and disrupt such networks, and we look forward to… https://t.co/nuhRDY1g7X
undefined Andy Stone (@andymstone) November 12, 2025
Last November, Meta pulled more than two million accounts linked to “forced labor” scam operations centers in Cambodia, Myanmar, Laos, the United Arab Emirates, and the Philippines, also working with those nations’ local law enforcement to help break up the rings.
“These criminal compounds force their workers to engage in a wide range of malicious activity, from cryptocurrency, gambling, loan and investment scams (e.g., ‘pig butchering’) to government and other impersonation scams,” Meta said at the time.
The Scam Center Strike Force is working with the US State Department, the Treasury Department’s Office of Foreign Assets Control (OFAC), and the Commerce Department to impose sanctions on known TOC leaders and seize illegal funds.
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