The National Bank of Cambodia has officially revoked the banking license of Huione Pay, a financial entity under the controversial Huione Group, following mounting concerns over regulatory violations.
The decision, confirmed by Radio Free Asia (RFA) this week, comes amid allegations that the company has been facilitating illicit financial transactions.
Although the central bank has not disclosed the exact date of the license revocation, it remains unclear what legal consequences Huione Pay may face if it continues operations.
So far, the company has not issued any public response to the license withdrawal.
Tether Freezes $30 Million in Huione Pay’s Assets
In a simultaneous move, Tether, the issuer of the widely used stablecoin USDT, has frozen nearly $30 million held in Huione Pay’s TRON-based wallet.
The asset freeze, which highlights the increasing scrutiny on crypto-linked financial institutions, signals a growing effort by financial regulators and blockchain companies to clamp down on entities suspected of enabling illicit transactions.
While Tether has previously frozen addresses tied to criminal activity, the significant sum involved in this case suggests the scale of wrongdoing attributed to Huione Pay.
The incident also underscores the need for more stringent regulatory oversight in the rapidly evolving digital finance sector.
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Huione Pay’s Links to a Vast Illicit Marketplace
Huione Pay is part of the larger Huione Group, a Cambodian conglomerate operating multiple fintech and digital marketplace platforms.
One of its major Telegram-based marketplaces has been accused of facilitating up to $24 billion in illicit transactions, ranging from money laundering to the illegal trade of personal data.
Investigators believe the platform exploits loopholes in financial regulations, allowing criminals to operate under the guise of legitimate business transactions.
Concerns over these activities have prompted calls for stronger financial crime enforcement measures to shut down such networks.
Huione’s Stablecoin Raises Further Concerns
Adding to the regulatory red flags, blockchain security firm Elliptic has reported that Huione Group has launched its own stablecoin, USDH.
The digital asset is allegedly designed to bypass financial restrictions imposed on traditional cryptocurrencies.
The Huione website openly promotes USDH as “not restricted by traditional regulatory agencies,” raising fears that the company is attempting to sidestep potential asset freezes similar to the one recently enacted by Tether.
The development has sparked renewed scrutiny over the group’s activities and increased pressure on regulators to implement stronger oversight on stablecoins and other digital assets linked to illicit financial operations.
A Growing Trend of Crypto-Related Financial Crimes
The case of Huione Pay is just one in a series of high-profile crypto-related financial crimes making headlines globally.
In Australia, Brendan Gunn, the brother of Olympic break dancer Rachael Gunn, has been charged with crypto fraud involving $181,000 and faces up to three years in prison.
Meanwhile, in Argentina, lead prosecutor Eduardo Taiano has requested a $100 million crypto asset freeze and the removal of social media posts by President Javier Milei as part of the ongoing LIBRA scandal, which involves allegations of fraud, bribery, and influence peddling.
Additionally, North Korean hackers have reportedly ramped up their use of phishing and malware attacks to commit cryptocurrency thefts, stealing $1.5 billion in February 2025 alone, according to the United Nations.
These cases highlight the urgent need for global regulatory action to combat financial crimes in the digital currency space.
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