U.S. Government Targets Cryptocurrency Scams: Sanctions on Funnull Technology
By Rebeca Moen | May 31, 2025
In a notable crackdown on cryptocurrency fraud, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has sanctioned Funnull Technology Inc., a tech company based in the Philippines. This move comes in response to Funnull’s significant involvement in notorious cryptocurrency scams, specifically the ‘pig butchering’ scheme, which has reported losses exceeding $200 million for American victims.
Understanding the Sanctions
OFAC’s actions are formidable, marking the designation of two cryptocurrency addresses associated with Funnull Technology as part of the Specially Designated Nationals (SDN) List. This designation highlights the addresses as crucial components in the infrastructure that supports fraudulent activities. The Federal Bureau of Investigation’s Internet Crime Complaint Center (IC3) further echoed these concerns by providing an advisory that elucidates the technical operations employed by Funnull, featuring specific IP addresses and infrastructure utilized in these scams.
Funnull Technology: The Heart of a Fraud Network
Funnull Technology has emerged as a primary figure within a criminal enterprise dubbed ‘Triad Nexus,’ notorious for orchestrating a variety of investment scams, fake trading applications, and suspicious gambling networks. Through bulk purchases of IP addresses from leading cloud service providers, Funnull sold these to operators of fraudulent investment platforms. This infrastructure enabled scammers to create convincing websites, tricking victims into banking on fake investment opportunities.
Unveiling the On-chain Activity
The cryptocurrency addresses sanctioned by OFAC were instrumental for Funnull Technology in facilitating transactions linked to cybercriminals for essential web infrastructure. A comprehensive analysis reveals ties to Huione Pay, a platform recently flagged by the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) as a significant concern for money laundering. Additionally, the addresses exhibit connections to various scams and domain management services, further complicating the cryptoscape.
Strategic Move Against Fraud
The sanctioning of Funnull Technology is a pivotal aspect of the U.S. government’s broader strategy to destabilize the infrastructure that nurtures large-scale cryptocurrency investment scams. By targeting key service providers like Funnull, OFAC aims to dismantle the operational networks behind these deceptive practices. This proactive approach is essential for safeguarding potential victims and enhancing the integrity of the crypto ecosystem.
At Extreme Investor Network, we recognize the immense potential of blockchain technology and cryptocurrency. However, alongside that potential comes the urgent need for vigilance against fraudulent schemes. This recent sanction serves as a stark reminder that while the crypto world offers numerous opportunities, it also harbors risks that can lead to substantial financial losses.
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