The US has created its first nationwide strike force to dismantle the Southeast Asian scam compounds behind the “pig butchering” epidemic that is stealing nearly $10bn a year from Americans and fuelling human trafficking networks across the region.
US Launches First Federal Strike Force to Combat Southeast Asian Crypto Scam Compounds
13 November 2025 - 12:19 CET
By Stu Clelland
Washington escalates fight against crypto scam centres
The Department of Justice unveiled the Scam Center Strike Force, a new interagency unit combining the US Attorney’s Office in Washington with the DOJ Criminal Division, the FBI and the US Secret Service.
Its mission is to target the Chinese transnational criminal organisations running large crypto investment fraud operations out of heavily guarded compounds in Cambodia, Laos, Burma and neighbouring countries.
These scams typically begin with social media or text outreach to US victims, who are persuaded to buy legitimate crypto before being funnelled into fake investment platforms controlled by the scammers. The DOJ says many of the workers inside these compounds are themselves trafficking victims, held against their will and forced to target Americans.
US Attorney Jeanine Pirro described the networks as a “generational wealth transfer” from ordinary Americans into the hands of organized crime. She said President Trump’s push to make the US a global centre for crypto made it essential to “expose and prosecute” those abusing the system.
Over $400mn in seized crypto
The new unit is already in action. According to DOJ figures, the Strike Force has seized $401.7mn in cryptocurrency linked to these scams and has filed forfeiture proceedings for another $80mn. Teams have conducted operations at scam compounds in Burma, seized US-hosted websites used to lure victims, and moved to confiscate satellite terminals that connect the compounds to the internet.
The Treasury Department has also sanctioned the Democratic Karen Benevolent Army and related entities connected to Burmese scam hubs, blocking assets and prohibiting US persons from doing business with them.
Intelligence provided by Strike Force investigators has also been used abroad. Indonesian police recently prosecuted 38 suspects in a Bali-based scam network linked to Cambodia-based organizers.
Why the crackdown matters now
The initiative marks a shift from isolated arrests toward a coordinated, offensive campaign that treats pig butchering as a national security problem rather than a niche cybercrime. The fraud drains billions from Americans, uses US internet infrastructure to target victims and strengthens organized crime groups operating in Southeast Asia.
The DOJ says the Strike Force will work with US technology companies to sever access to domestic hosting services, social media accounts, and communication tools used by the networks. Officials say the goal is to prevent American infrastructure from being used to facilitate crypto fraud at an industrial scale, while recovering stolen funds for victims.
