U.S. Treasury Targets Crypto Scam Network
The U.S. Treasury Department has sanctioned Funnull Technology Inc.,a Philippines-based company,for its role in a massive cyber fraud operation. This move aims too curb cryptocurrency scams.
Funnull is blamed for supplying the technical backbone for numerous websites involved in “pig butchering” scams. These scams involve fraudsters pretending to be romantic or financial partners,tricking victims into fake crypto investments.
U.S. victims have lost over $200 million due to Funnull-linked sites, with an average loss exceeding $150,000. The Treasury also sanctioned Liu Lizhi, the company’s administrator.The sanctions, coordinated with the FBI, aim to disrupt cybercrime networks targeting Americans.
funnull purchased IP addresses in bulk and resold them to scammers for fake investment platforms and phishing sites. They also used algorithms to create web addresses and provided design templates to help criminals impersonate legitimate financial services.
In 2024, Funnull allegedly altered a code repository, redirecting traffic from legitimate sites to scams and gambling platforms. Liu Lizhi managed these operations, including assigning domains to scammers and maintaining infrastructure for fraud and illicit gambling.
The Treasury’s action follows a 2023 alert about pig butchering scams and their links to Southeast Asian crime groups.
