Huione Pay Freezes Withdrawals After $98B Laundering Allegations

Huione Pay has suspended operations and frozen withdrawals after a bank run and regulatory crackdowns over alleged $98 billion money laundering, leaving users facing delayed repayments and fears of major losses.

Huione Pay, a major Cambodian financial platform, has suspended all operations and frozen withdrawals following a surge in user withdrawal requests and mounting regulatory pressure. The shutdown, announced after a run on the bank, has caused panic among thousands of users who rushed to secure their funds. The company cited liquidity issues and introduced a delayed repayment plan, offering users either high-yield financial products with an 18-month wait for full repayment or a six-month wait followed by gradual withdrawals. The crisis follows the revocation of Huione Pay’s license by Cambodia’s central bank and U.S. sanctions over allegations of laundering up to $98 billion through illicit crypto transactions, including links to cybercrime and fraudulent schemes. The company has attempted to rebrand as H-Pay amid ongoing investigations. Major crypto exchanges have frozen related accounts, and authorities across Asia are closely monitoring the situation as users fear significant financial losses and uncertainty about the recovery of their funds.