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Coinbase froze more than $3 million in crypto tied to Southeast Asian criminal networks during a U.S.-led scam crackdown. The operation targeted online fraud groups that use social media, email, hosting services and crypto rails to steal from Americans.
It was part of the Justice Department’s Disruption Week, a public-private effort involving U.S. agencies, foreign law enforcement and companies including Coinbase, Apple, Google, Meta, Microsoft, SpaceX, TRM Labs and Zenlayer.
DOJ Says Firms Froze $3.8M in Crypto
The Justice Department said intelligence shared by the government helped private companies freeze more than $3.8 million in cryptocurrency tied to laundering funds stolen from Americans.
Coinbase accounted for more than $3 million of that amount, according to reports on the operation. The company’s role focused on blocking assets tied to scam networks after information was shared through the Scam Center Strike Force.
Operation Disrupted 1.4M Accounts and Servers
DOJ said the operation interrupted more than 1.4 million social media and email accounts. The effort also disrupted malicious IP traffic, decommissioned servers and hosting infrastructure, and created referrals for possible prosecutions.
The targets were transnational organized crime groups operating from Southeast Asia. Officials said the groups used U.S. internet services to defraud victims through crypto investment scams.
Thai Police Made 7 Scam Arrests
Foreign law enforcement agencies also joined the operation, including the Royal Thai Police, Australian Federal Police, Canadian Anti-Fraud Centre, New Zealand Police and the UK National Crime Agency.
DOJ said the Royal Thai Police arrested seven scammers and opened new cases through its Anti Cyber Scam Center. Separate reports said Thai authorities arrested 63 people in connection with scam center activity.
April DOJ Case Restrained Over $700M
The latest freeze follows an April Justice Department action that restrained more than $700 million in crypto allegedly tied to money laundering from Southeast Asian scam centers. That case also included charges against two Chinese nationals, the seizure of a Telegram channel and the takedown of 503 fake investment websites.
The new operation relied on cooperation between U.S. authorities, foreign law enforcement and major technology and crypto companies. For Coinbase, the immediate role was blocking assets after intelligence linked the funds to scam networks.
