The U.S. Treasury sanctioned Funnull Technology Inc. for running a $200 million crypto scam. The firm, linked to fraudulent investment schemes, had its crypto addresses added to the SDN list. Deputy Treasury Secretary Michael Faulkender emphasized disrupting such scams. Investigations revealed connections to Huione Pay and a larger network called ‘Triad Nexus.’
The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has taken significant action by sanctioning Funnull Technology Inc., based in the Philippines, and its administrator Liu Lizhi. This firm has been implicated in a staggering $200 million cryptocurrency scam known as “pig butchering,” with victims primarily being American investors. As part of the sanctions, two crypto addresses linked to Funnull have been added to OFAC’s Specially Designated Nationals (SDN) list, cutting off their access to financial systems.
In its press release, OFAC described how Funnull had reportedly siphoned off over $200 million from unsuspecting investors. To combat these cybercrimes, the FBI’s Internet Crime Complaint Center (IC3) has issued an advisory outlining specific technical details—critical IP addresses and other infrastructure components tied to the scam. Meanwhile, Deputy Secretary of the Treasury Michael Faulkender emphasized the importance of today’s actions in disrupting criminal enterprises like Funnull, who prey on innocent victims, stating the U.S. is committed to a safe digital asset environment.
Further digging into the matter, the blockchain intelligence firm Chainalysis revealed that Funnull bought IP addresses in bulk from cloud service giants, enabling cybercriminals to operate fraudulent investment schemes. These fake sites particularly fooled victims into investing in schemes that were not real at all. Funnull is also reportedly part of a broader network called “Triad Nexus,” which is believed to involve over 200,000 unique hostnames associated with various scams, including fake trading apps and dubious gambling sites.
The OFAC has flagged two specific crypto addresses owned by Funnull for their role in receiving funds related to these illicit activities. Interestingly, these addresses have connections to Huione Pay, a service recently identified by FinCEN as a serious money laundering risk. Further investigation by blockchain security firm Elliptic uncovered that the two addresses received in excess of $4 million altogether, highlighting just how significant this operation has been.
In summary, the OFAC’s sanctions against Funnull Technology Inc. highlight a serious crackdown on a major cryptocurrency scam in which $200 million was stolen from investors. The company’s connections to a network enabling cybercrime and their use of fraudulent infrastructure raise red flags about the overall safety in the digital asset ecosystem. Authorities are keen on not only disrupting such operations but also ensuring a secure framework for legitimate transactions and innovations in cryptocurrency.
Original Source: cryptopotato.com
