Over $35 million in stolen funds from the DMM Bitcoin hack have been laundered through Huione Guarantee, an online marketplace operated by the Cambodian conglomerate Huione Group. This platform, linked to the Cambodian ruling family, has become a significant hub for illicit funds in Southeast Asia, often used by criminal organizations such as pig butchering gangs.
Recently, stablecoin issuer Tether took action by blacklisting a wallet containing 29.6 million USDT on Tron, connected to Huione. On-chain investigator ZachXBT discovered that $14 million from the DMM Bitcoin hack flowed into this wallet in just three days. There are suspicions that North Korea’s Lazarus Group, known for similar laundering techniques, may be involved in the attack.
ZachXBT detailed the laundering process, which included depositing hacked Bitcoin into a mixer, withdrawing the tokens, transferring funds to platforms like Ethereum or Avalanche via THORChain, Threshold, and the Avalanche bridge, exchanging for USDT, and then moving to Tron via SWFT before sending to Huione. It was also found that millions from a $31 million Fintech investment fraud scheme were funneled to Huione previously.
Huione Guarantee has come under scrutiny for its use by crypto scammers and its support of pig butchering operations. The marketplace, known for facilitating peer-to-peer transactions with USDT over Telegram, is also reportedly selling equipment used to imprison and torture workers in scam compounds. Items like tear gas, electric batons, and electronic shackles are advertised, with mentions of controlling “runaway dogs,” a derogatory term for the workers.
In addition to these alarming revelations, it is essential for individuals in the cryptocurrency space to be cautious and vigilant. Scammers and criminal organizations are constantly evolving their tactics, making it crucial for users to conduct thorough research and due diligence before engaging in any transactions or investments.
As the cryptocurrency industry continues to grow and attract mainstream attention, regulatory bodies and law enforcement agencies must work together to combat illicit activities and protect investors. By staying informed and practicing good security measures, individuals can help create a safer environment for the entire crypto community.