South Korean police have referred 23 suspects and detained two key figures for laundering crypto proceeds from a Cambodia-based phishing group. The group allegedly moved $11.1 million (16.8 billion won) in USDT between exchanges from February 2024 to April 2025, following orders from a suspected ringleader now under an Interpol Red Notice. A review of 11,300 accounts revealed 265 phishing incidents, including voice phishing and investment fraud, totaling $17 million (25.7 billion won). Chainalysis expert Xue Yin Peh noted that despite record seizures, Southeast Asian scam networks show remarkable resilience, adapting by relocating and evolving their models. Stablecoins like USDT remain preferred for illicit flows due to liquidity and stability, but on-chain transparency and issuer freezes provide countermeasures. Peh called for tighter global oversight and clearer frameworks to coordinate victim fund recovery. The case underscores ongoing enforcement challenges against transnational scam compounds.

Key facts

• 23 suspects referred, two detained for laundering $11.1M in USDT from Cambodia phishing group
• Suspected ringleader remains at large under Interpol Red Notice
• Chainalysis warns Southeast Asian scam networks are resilient despite record seizures
• Stablecoins preferred for illicit flows due to liquidity and stability; on-chain tracking aids countermeasures

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