Coinbase freezes $3M as DOJ hits Southeast Asia scam networks

Coinbase said it froze more than $3 million in cryptocurrency tied to scam networks operating in Southeast Asia. 

The exchange joined a broader operation led by the U.S. Department of Justice’s Scam Center Strike Force.

The action targeted criminal groups accused of running romance scams, investment fraud, and forced labor scam compounds. Coinbase said it shared intelligence with Meta, Microsoft, Starlink, the DOJ, and global law enforcement agencies.

“This operation is proof that scammers can’t be stopped by any single company or agency acting alone,” Coinbase said. 

The company added that social platforms, financial firms, internet providers, and police had to act together.

Meta and Microsoft disrupt online accounts

Meta said the joint action disabled more than 1.4 million accounts, pages, and groups across Facebook and Instagram. Microsoft also suspended about 20,000 fraudulent accounts linked to scam networks.

Starlink terminated connectivity for thousands of kits tied to unlawful use. The Royal Thai Police also arrested 63 people connected to scam operations, according to Meta.

The companies said the operation connected online activity with real-world scam centers. Meta said shared intelligence helped identify scam locations, accounts, infrastructure, and networks for law enforcement review.

Crypto tracking aids law enforcement

Coinbase defended the role of blockchain tracking in the operation. The company said public blockchain records can help investigators follow stolen funds after victims send crypto to scammers.

“Blockchain technology gives law enforcement something traditional financial systems often can’t: a transparent, immutable and permanent record of every transaction,” Coinbase said.

The statement comes as crypto-linked investment scams continue to draw attention from U.S. authorities. The DOJ has described pig butchering and investment scams as among the most damaging fraud types targeting Americans.

Broader scam crackdown continues

The latest action follows a broader push against scam compounds and fake investment platforms. As previously reported by crypto.news, U.S. authorities froze more than $701 million in crypto tied to global scam networks in April.

That earlier action also targeted over 500 fake investment websites. Authorities said the sites used false dashboards and fake returns to convince victims to deposit more funds.

Law enforcement agencies in several countries have also moved against scam centers this year. Actions have involved the U.S., Thailand, Singapore, the UAE, Austria, Albania, and other partners.

The Coinbase freeze adds another case showing how exchanges now play a direct role in fraud disruption. The company said it will continue working with public and private partners to block criminal funds and protect users.