Tether (USDT) Assists US Sanctions on Xinbi Guarantee Over $24 Billion in Crypto

The United States Treasury's Office of Foreign Assets Control (OFAC) sanctioned Xinbi Guarantee on September 9, designating the Chinese-language crypto mixer and escrow platform a “significant transnational criminal organization” alongside two technology providers, Anwen Technology and SafeW Technology. According to Treasury data cited in the designation, Xinbi has processed more than $24 billion in digital asset and fiat transactions since its founding around 2022, primarily supplying escrow, payment and trading services to Southeast Asian scam centers, money laundering networks and other cybercrime groups. The Treasury record also notes the platform was used by North Korea-linked hacking crews and entities already on the sanctions list. Cambodia-registered Anwen Technology is accused of building the crypto payment and wallet application known as XinbiPay or NewPay, while Singapore-based SafeW Technology provided the encrypted messaging tool Xinbi users relied on for communications. Under the designation, any property of the three entities located in the United States or controlled by US persons is blocked, and US persons are generally prohibited from transacting with them without a specific license. The Department of Justice moved in parallel the same day, seizing infrastructure and digital asset wallets tied to the operation.

Seized Wallets Held $12 Million

The enforcement action went beyond listing. Court-authorized measures froze more than $52 million in crypto connected to Xinbi, and the Justice Department disclosed that two wallets the platform used to collect payments from sellers held roughly $12 million at the time of seizure. Forfeiture proceedings have also been initiated against 47 additional wallets suspected of routing laundering proceeds through the network. The US District Court for the District of Columbia authorized the seizure of Xinbi's Telegram channels on September 7, cutting off the marketplace where vendors allegedly advertised money laundering for stolen funds, construction of fake investment sites and recruitment of staff for scam compounds across Southeast Asia. Investigators described Xinbi as an intermediary that held fraud groups' payments in escrow until a service was completed. Stablecoin issuer Tether supported the probe, and the operation sits inside a wider campaign: the Scam Center Strike Force, formed in November 2025, has so far restricted or seized roughly $938 million in crypto assets. FBI figures show reported US cyber investment fraud losses climbing from $4.57 billion in 2023 to $8.65 billion in 2025. The United Kingdom had already sanctioned the platform on March 26, 2026, freezing its assets there. Readers tracking the market in real time can follow live spot and futures prices on Bitget.

$938 Million Strike Force Tally Grows

Read together, the OFAC designation and the DOJ forfeiture filings describe a new enforcement template: Treasury blocks the entity, the courts seize the wallets and channels, and a private issuer like Tether supplies the transaction data that makes on-chain tracing actionable. For a platform that moved $24 billion in four years, the message is that escrow infrastructure for fraud is now treated as criminal organization activity, not a gray-market service. We expect more coordinated designations of this kind as the strike force's $938 million tally continues to rise.