Binance Helps Freeze $47 Million in APAC Pig Butchering Scam Crackdown

Binance, the world’s leading blockchain ecosystem behind the world’s largest crypto exchange by trading volume and users, joined forces with APAC law enforcement, Chainalysis, and stablecoin issuers in freezing nearly USD 50 million in illicit funds linked to pig butchering scams. The action marked one of the most significant disruptions of such scams in the region, which have become increasingly global in recent years. The fraud involved tricking victims through fake relationships and investment opportunities, before stealing their money and laundering it via crypto wallets.

Pig butchering schemes, sometimes involving crypto, are an extension of long-standing investment and romance frauds. Scammers typically “fatten” victims over time by building trust before defrauding them. What may begin as a casual online encounter develops into a relationship of trust, after which victims are encouraged to invest in fraudulent opportunities. Eventually, the scammers vanish, taking the funds with them.

• Binance collaborated with Chainalysis, stablecoin issuers, and APAC-based law enforcement to help freeze nearly $50 million in illicit funds linked to pig butchering scams

• Pig butchering schemes, while increasingly involving crypto, are an extension of long-standing investment and romance fraud techniques

• Public-private partnerships and blockchain analytics remain crucial in disrupting sophisticated scams and protecting vulnerable victims worldwide

In this case, Chainalysis’ investigative team deployed blockchain analytics to follow the flow of funds linked to a scam network active across Southeast Asia. Transactions from dozens of victims between November 2022 and July 2023 were traced to consolidation wallets controlled by scammers. Criminals pooled victim funds into a primary wallet and then distributed them across intermediary addresses before dividing the assets between five final wallets, which together held nearly $47 million in USDT. As part of the scheme, scammers also sent small amounts back to victims, a tactic designed to create the illusion of legitimate returns and prolong the fraud.

The intelligence was shared with APAC law enforcement, which directed stablecoin issuers to freeze the funds in June 2024. By acting swiftly, investigators prevented the perpetrators from converting their illicit proceeds into fiat.

Binance provided critical support throughout the investigation, assisting with intelligence sharing, blockchain analysis, and law enforcement engagement. “Our collaboration with these organisations highlights the essential role of public-private partnerships in subverting criminal operations and working toward compensating victims” said Erin Fracolli, Binance Global Head of Intelligence and Investigations. “Furthering the security of the larger blockchain ecosystem is our number one priority and we promptly share our knowledge and expertise with law enforcement, government agencies, and other exchanges to stop the spread of crime with a crypto nexus.”

This case highlights how blockchain technology, coupled with coordinated response between public and private partners can transform digital traces into actionable enforcement outcomes. The technical ability of stablecoin issuers like Tether to freeze funds at the direction of law enforcement also proved a vital safeguard. Each successful disruption demonstrates how blockchain transparency, combined with industry collaboration, can help protect users, return funds, and build a safer ecosystem.

As pig butchering scams continue to evolve, Binance remains committed to investing in intelligence capabilities, sharing knowledge with partners, and supporting law enforcement worldwide to ensure that trust and security remain the foundation of crypto adoption.