U.S. Sanctions Against Funnull and Huione-Linked Crypto Wallets
The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has imposed sanctions on Funnull Technology, a Philippines-based company accused of facilitating pig butchering scams and other cybercrimes. The sanctions also target two cryptocurrency wallets allegedly linked to Huione Group.
Allegations Against Funnull
Funnull allegedly played a crucial role in a scam resulting in over $200 million in losses for victims. The company is accused of selling IP addresses to cybercriminals after acquiring them from mainstream cloud service providers. OFAC’s action against Funnull includes sanctioning a company administrator, Liu Lizhi.
Connection to Huione Group
Blockchain security firm Elliptic identified the sanctioned wallets as being linked to Huione. The wallets, operating on Ethereum and Tron blockchains, received over $4 million directly from Huione Pay, a subsidiary of Huione Group. Elliptic noted that most cryptocurrency investment scam websites reported to the FBI are linked to Funnull.
Background on Huione
Earlier this month, FinCEN labeled Huione as a ‘primary money laundering concern.’ This designation, combined with the recent OFAC sanctions, highlights the growing scrutiny of Huione’s financial dealings in the cryptocurrency space.
The action against Funnull and the associated crypto wallets underscores the U.S. government’s efforts to combat cybercrime and fraudulent activities in the cryptocurrency sector. By targeting companies and individuals involved in such schemes, OFAC aims to protect investors and maintain the integrity of the financial system.
