Huione Pay Halts Withdrawals After Run on Banks, Users Fear Major Losses

Huione Pay slams the brakes on user withdrawals—sparking panic and flashbacks to crypto's wildest days.

Bank Run 2.0

Users stampeded for the exits after rumors swirled about liquidity issues. The platform responded by freezing withdrawals entirely—a classic move that never fails to calm nerves. Now, account balances are just numbers on a screen, and the community is bracing for impact.

The Domino Effect

This isn't happening in a vacuum. The freeze exposes the fragile trust holding these digital finance ecosystems together. One platform stumbles, and suddenly everyone's checking their own exposure—wondering who's next. It's the decentralized dream meeting centralized reality.

Trust, Once Broken

Rebuilding user confidence after a freeze is a marathon, not a sprint. Transparency becomes the most valuable—and often scarcest—currency. For now, users are left waiting, a stark reminder that in crypto, your keys aren't always your coins if someone else holds the 'off' switch. Just another day where the 'self' in self-custody gets a painful, expensive highlight.

Huione Pay, the world’s largest money laundering network in Cambodia, has stunned the users after pausing operations and delaying repayments until January 5, 2026, after a sudden bank run.

The surprise announcement triggered panic, long queues, and growing fears among thousands of users who rushed to withdraw their money before the shutdown.

Huione Pay Halts Services Until January

Huione Pay posted a notice on 1 Dec announcing that all services WOULD be suspended until January 5, 2026, explaining that the platform was hit by a massive wave of withdrawals in a very short period. 

The company admitted it could not handle the pressure and introduced a delayed repayment plan instead of immediate cash withdrawals.

Later, the crowds gathered outside the company’s headquarters on Norodom Boulevard in Phnom Penh. Many users said they had money inside their Huione Pay accounts but had no way to withdraw it after the sudden closure. 

Following US sanctions, Huione Pay, the world's largest money laundering network in Cambodia, experienced a massive run on its banks. On December 1, it abruptly announced a shutdown until January 5 of next year and initiated a deferred repayment plan. Large queues of users have…

Several expressed fear of losing their savings entirely.

Huione Repayment Plan Sparks More Fear

Following the shutdown, Huione Pay offered two repayment proposals, which have raised fears of losing their money.

• Buy high-yield financial products and wait 18 months to receive their full principal, while claiming interest every month.
  
• Refuse the products and wait six months, after which they can withdraw funds in small portions each month.

For many users, both choices feel risky, especially after the company’s past troubles.

U.S. Sanctions and Prior License Revocation

Huione Pay’s problems did not start today. The company has long been accused of helping large criminal networks with money laundering activities.

• In June 2024, Cambodia’s central bank revoked Huione Pay’s license for regulatory breaches.
  
• In May 2025, the U.S. Financial Crimes Enforcement Network (FinCEN) labeled the Huione Group as a major money-laundering institution linked to fraud operations in North Korea and Southeast Asia.
  
• Even the South Korean exchange Upbit also shut down over 200 accounts tied to Huione operations last month.

What Comes Next?

With the shutdown confirmed and repayments pushed back, worry is growing among users. Many people simply want their money returned quickly, while regulators are now focused on checking the company’s records and identifying any wrongdoing. 

Across Asia, financial authorities are watching closely, as this situation could turn into one of the biggest payment-platform failures the region has seen in years.