US Treasury Sanctions Philippines Tech Firm Over $200M Crypto Scam Facilitation

The US Treasury Department has imposed sanctions on Funnull Technology Inc., a Philippines-based firm accused of enabling large-scale ’pig butchering’ crypto scams that defrauded American victims of over $200 million. The scheme involved leasing IP addresses, domain generation tools, and web hosting services to cybercriminals operating fraudulent investment platforms.

Liu Lizhi, a Chinese national overseeing Funnull’s operations, was personally designated by OFAC. Deputy Treasury Secretary Michael Faulkender emphasized the action targets criminal enterprises depriving Americans of savings. FBI data shows Funnull-linked scams account for most reported VIRTUAL currency fraud sites, with average victim losses exceeding $150,000.

The sophisticated operation bulk-purchased cloud IP addresses and provided scammers with turnkey solutions including algorithmically generated domains and pre-built website templates mimicking legitimate trading platforms. Authorities warn the true scale of losses likely far exceeds reported figures given low victim reporting rates.