US restrains $52M in crypto linked to Xinbi scam marketplace

The United States Justice Department and Treasury Department have taken a sweeping action against Xinbi Guarantee, a notorious crypto scam marketplace, restricting more than $52 million in assets linked to the platform. As part of a coordinated operation, the Justice Department’s Scam Center Strike Force seized two wallets used by Xinbi to collect vendor payments, containing approximately $12 million. Additionally, the department sought restraints on 47 other wallets suspected of facilitating money laundering across the network. The seizure was authorized by the US District Court for the District of Columbia, which also froze Telegram channels hosting the marketplace on September 7. These channels were used to advertise money laundering schemes, custom scam-investment websites, and recruitment services for scam compounds in Southeast Asia, according to an unsealed warrant.